Mr. Markey (for
himself, Mr. Rahall,
Mr. Waxman,
Mr. George Miller of California,
Ms. Eddie Bernice Johnson of Texas,
Mr. Holt, Ms. Woolsey, and Mrs. Capps) introduced the following bill; which
was referred to the Committee on Natural
Resources, and in addition to the Committees on
Science, Space, and
Technology, Energy and
Commerce, Transportation
and Infrastructure, and Education and the Workforce, for a period
to be subsequently determined by the Speaker, in each case for consideration of
such provisions as fall within the jurisdiction of the committee
concerned

A BILL

To provide for the implementation of the recommendations
of the National Commission on the BP Deepwater Horizon Oil Spill and Offshore
Drilling, and for other purposes.

1.

Short title; table of
contents

(a)

Short
title

This Act may be cited as the Implementing the Recommendations of the BP Oil Spill
Commission Act of 2011.

The term affected Indian tribe means an
Indian tribe that has federally reserved rights that are affirmed by treaty,
statute, Executive order, Federal court order, or other Federal law in the area
at issue.

(2)

Coastal
State

The term coastal State has the same meaning
given the term coastal state in section 304 of the Coastal Zone
Management Act of 1972 (16 U.S.C. 1453).

(3)

Department

The
term Department means the Department of the Interior, except as
the context indicates otherwise.

(4)

Function

The
term function, with respect to a function of an officer,
employee, or agent of the Federal Government, or of a Department, agency,
office, or other instrumentality of the Federal Government, includes
authorities, powers, rights, privileges, immunities, programs, projects,
activities, duties, and responsibilities.

(5)

Important
ecological area

The term important ecological area
means an area that contributes significantly to local or larger marine
ecosystem health or is an especially unique or sensitive marine
ecosystem.

(6)

Indian
land

The term Indian land has the meaning given
the term in section 502(a) of title V of Public Law 109–58 (25 U.S.C.
3501(2)).

(7)

Indian
tribe

The term Indian
tribe has the same meaning given the term Indian tribe
has in section 4 of the Indian Self-Determination and Education Assistance Act
(25 U.S.C. 450b).

(8)

Marine ecosystem
health

The term marine ecosystem health means the
ability of an ecosystem in ocean and coastal waters to support and maintain
patterns, important processes, and productive, sustainable, and resilient
communities of organisms, having a species composition, diversity, and
functional organization resulting from the natural habitat of the region, such
that it is capable of supporting a variety of activities and providing a
complete range of ecological benefits. Such an ecosystem would be characterized
by a variety of factors, including—

(A)

a complete
diversity of native species and habitat wherein each native species is able to
maintain an abundance, population structure, and distribution supporting its
ecological and evolutionary functions, patterns, and processes; and

(B)

a physical,
chemical, geological, and microbial environment that is necessary to achieve
such diversity.

(9)

Mineral

The
term mineral has the same meaning that the term
minerals has in section 2(q) of the Outer Continental Shelf
Lands Act (43 U.S.C. 1331(q)).

(10)

Nonrenewable
energy resource

The term nonrenewable energy
resource means oil and natural gas.

(11)

Operator

The
term operator means—

(A)

the lessee;
or

(B)

a person
designated by the lessee as having control or management of operations on the
leased area or a portion thereof, who is—

(i)

approved by the Secretary, acting through
the Bureau of Ocean Energy Management, Regulation and Enforcement; or

(ii)

the holder of operating rights under an
assignment of operating rights that is approved by the Secretary, acting
through the Bureau of Ocean Energy Management, Regulation and
Enforcement.

(12)

Outer
Continental Shelf

The term
Outer Continental Shelf has the same meaning given the term
outer Continental Shelf in the Outer Continental Shelf Lands Act
(43 U.S.C. 1331 et seq.).

(13)

Regional Ocean
Partnership

The term
Regional Ocean Partnership means voluntary, collaborative
management initiatives developed and entered into by the Governors of two or
more coastal States or created by an interstate compact for the purpose of
addressing more than one ocean, coastal, or Great Lakes issue and to implement
policies and activities identified under special area management plans under
the Coastal Zone Management Act of 1972 (16 U.S.C. 1451 et seq.) or other
agreements developed and signed by the Governors.

(14)

Renewable
energy resource

The term renewable energy resource
means each of the following:

(A)

Wind
energy.

(B)

Solar
energy.

(C)

Geothermal
energy.

(D)

Landfill
gas.

(E)

Marine and
hydrokinetic renewable energy, as that term is defined in section 632 of the
Energy Independence and Security Act of 2007 (42 U.S.C. 17211).

(15)

Secretaries

The
term Secretaries means the Secretary of the Interior and the
Secretary of Commerce.

(16)

Secretary

The
term Secretary means the Secretary of the Interior, except as
otherwise provided in this Act.

(17)

Terms defined
in other law

Each of the
terms Federal land, lease, and mineral
leasing law has the same meaning given the term under the Federal Oil
and Gas Royalty Management Act of 1982 (30 U.S.C. 1701 et seq.), except that
such terms shall also apply to all minerals and renewable energy resources in
addition to oil and gas.

I

Creation of New
Department of the Interior Agencies

101.

Bureau of Ocean
Energy Management

(a)

Establishment

There is established in the Department of
the Interior a Bureau of Ocean Energy Management (referred to in this section
as the Bureau) to be headed by a Director of Energy Management
(referred to in this section as the Director).

(b)

Director

(1)

Appointment

The Director shall be appointed by the
President, by and with the advice and consent of the Senate, on the basis
of—

(A)

professional
background, demonstrated competence, and ability; and

(B)

capacity
to—

(i)

administer the
provisions of this Act; and

(ii)

ensure that the
fiduciary duties of the United States Government on behalf of the people of the
United States, as they relate to development of nonrenewable and renewable
energy and mineral resources, are duly met.

(2)

Compensation

The
Director shall be compensated at the rate provided for Level V of the Executive
Schedule under section 5316 of title 5, United States Code.

(c)

Duties

(1)

In
general

Except as provided in paragraph (4), the Secretary shall
carry out through the Bureau all functions, powers, and duties vested in the
Secretary relating to the administration of a comprehensive program of offshore
nonrenewable and renewable energy and mineral resources management—

(A)

on the Outer
Continental Shelf, pursuant to the Outer Continental Shelf Lands Act as amended
by this Act (43 U.S.C. 1331 et seq.); and

(B)

pursuant to this
Act and all other applicable Federal laws, including the administration and
approval of all instruments and agreements required to ensure orderly, safe,
and environmentally responsible offshore nonrenewable and renewable energy and
mineral resources development activities.

(2)

Specific
authorities

The Director shall promulgate and implement
regulations for the proper issuance of leases for the exploration, development,
and production of nonrenewable and renewable energy and mineral resources, and
for the issuance of permits under such leases, on the Outer Continental Shelf,
including regulations relating to resource identification, access, evaluation,
and utilization.

(3)

Independent
environmental science

(A)

In
general

The Secretary shall create an independent office within
the Bureau that—

(i)

shall report to
the Director;

(ii)

shall be
programmatically separate and distinct from the leasing and permitting
activities of the Bureau; and

(iii)

shall—

(I)

carry out the
environmental studies program under section 20 of the Outer Continental Shelf
Lands Act (43 U.S.C. 1346);

(II)

conduct any
environmental analyses necessary for the programs administered by the Bureau;
and

(III)

carry out other
functions as deemed necessary by the Secretary.

(B)

Consultation

Studies
and analyses carried out by the office created under subparagraph (A) shall be
conducted in appropriate and timely consultation with other relevant Federal
agencies, including—

(i)

the
Bureau of Safety and Environmental Enforcement;

(ii)

the
United States Fish and Wildlife Service;

(iii)

the United
States Geological Survey; and

(iv)

the
National Oceanic and Atmospheric Administration.

(4)

Limitation

The
Secretary shall not carry out through the Bureau any function, power, or duty
that is—

(A)

required by
section 102 to be carried out through Bureau of Safety and Environmental
Enforcement; or

(B)

required by
section 103 to be carried out through the Office of Natural Resources
Revenue.

(d)

Comprehensive
data and analyses on outer continental shelf resources

(1)

In
general

(A)

Programs

The
Director shall develop and carry out programs for the collection, evaluation,
assembly, analysis, and dissemination of data and information that is relevant
to carrying out the duties of the Bureau, including studies under section 20 of
the Outer Continental Shelf Lands Act (43 U.S.C. 1346).

(B)

Use of data and
information

The Director shall, in carrying out functions
pursuant to the Outer Continental Lands Act (43 U.S.C. 1331 et seq.), consider
data and information referred to in subparagraph (A) which shall inform the
management functions of the Bureau, and shall contribute to a broader
coordination of development activities within the contexts of the best
available science and marine spatial planning.

cooperate with
appropriate offices in the Department and in other Federal agencies;

(C)

use existing
inventories and mapping of marine resources previously undertaken by the
Minerals Management Service, mapping undertaken by the United States Geological
Survey and the National Oceanographic and Atmospheric Administration, and
information provided by the Department of Defense and other Federal and State
agencies possessing relevant data; and

Nothing in this section shall affect
the authorities of the Bureau of Land Management under the Federal Land Policy
and Management Act of 1976 (43 U.S.C. 1701 et seq.) or of the Forest Service
under the National Forest Management Act of 1976 (Public Law 94–588).

102.

Bureau of
Safety and Environmental Enforcement

(a)

Establishment

There
is established in the Department a Bureau of Safety and Environmental
Enforcement (referred to in this section as the Bureau) to be
headed by a Director of Safety and Environmental Enforcement (referred to in
this section as the Director).

(b)

Director

(1)

Appointment

The Director shall be appointed by the
President for a fixed term of five years, by and with the advice and consent of
the Senate, on the basis of—

(A)

professional
background, demonstrated competence, and ability; and

(B)

capacity to
administer the provisions of this Act.

(2)

Compensation

The
Director shall be compensated at the rate provided for Level V of the Executive
Schedule under section 5316 of title 5, United States Code.

(c)

Duties

(1)

In
general

The Secretary shall
carry out through the Bureau all functions, powers, and duties vested in the
Secretary relating to the administration of safety and environmental
enforcement activities related to offshore nonrenewable and renewable energy
and mineral resources—

including
the authority to develop, promulgate, and enforce regulations to ensure the
safe and environmentally sound exploration, development, and production of
nonrenewable and renewable energy and mineral resources on the Outer
Continental Shelf.(d)

Authorities

In
carrying out the duties under this section, the Secretary’s authorities shall
include—

(1)

performing necessary oversight activities
to ensure the proper application of environmental reviews, including those
conducted pursuant to the National Environmental Policy Act of 1969 (42 U.S.C.
4321 et seq.) by the Bureau of Ocean Energy Management in the performance of
its duties under the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et
seq.);

(2)

suspending or
prohibiting, on a temporary basis, any operation or activity, including
production on leases held on the Outer Continental Shelf, in accordance with
section 5(a)(1) of the Outer Continental Shelf Lands Act (43 U.S.C.
1334(a)(1));

(3)

cancelling any
lease, permit, or right-of-way on the Outer Continental Shelf, in accordance
with section 5(a)(2) of the Outer Continental Shelf Lands Act (43 U.S.C.
1334(a)(2));

requiring
comprehensive safety and environmental management programs for persons engaged
in activities connected with the exploration, development, and production of
energy or mineral resources;

(6)

developing and
implementing regulations for Federal employees to carry out any inspection or
investigation to ascertain compliance with applicable regulations, including
health, safety, or environmental regulations;

(7)

collecting,
evaluating, assembling, analyzing, and publicly disseminating electronically
data and information that is relevant to inspections, failures, or accidents
involving equipment and systems used for exploration and production of energy
and mineral resources, including human factors associated therewith;

(8)

implementing the
Offshore Technology Research and Risk Assessment Program under section 21 of
the Outer Continental Shelf Lands Act (43 U.S.C. 1347);

(9)

summoning
witnesses and directing the production of evidence;

(10)

levying fines and
penalties and disqualifying operators; and

(11)

carrying out any
safety, response, and removal preparedness functions.

(e)

Employees

(1)

In
general

The Secretary shall ensure that the inspection force of
the Bureau consists of qualified, trained employees who meet qualification
requirements and adhere to the highest professional and ethical
standards.

(2)

Qualifications

The
qualification requirements referred to in paragraph (1)—

(A)

shall be
determined by the Secretary, subject to subparagraph (B); and

(B)

shall
include—

(i)

three years of
practical experience in oil and gas exploration, development, or production;
or

(ii)

a
degree in an appropriate field of engineering from an accredited institution of
higher learning.

(3)

Assignment

In
assigning oil and gas inspectors to the inspection and investigation of
individual operations, the Secretary shall give due consideration to the extent
possible to their previous experience in the particular type of oil and gas
operation in which such inspections are to be made.

(4)

Training
academy

(A)

In
general

The Secretary shall establish and maintain a National Oil
and Gas Health and Safety Academy (referred to in this paragraph as the
Academy) as an agency of the Department of the Interior.

(B)

Functions of
academy

The Secretary, through the Academy, shall be responsible
for—

(i)

the
initial and continued training of both newly hired and experienced oil and gas
inspectors in all aspects of health, safety, environmental, and operational
inspections;

(ii)

the
training of technical support personnel of the Bureau;

(iii)

any other
training programs for oil and gas inspectors, Bureau personnel, Department
personnel, or other persons as the Secretary shall designate; and

(iv)

certification of
the successful completion of training programs for newly hired and experienced
oil and gas inspectors.

(C)

Cooperative
agreements

(i)

In
general

In performing functions under this paragraph, and subject
to clause (ii), the Secretary may enter into cooperative educational and
training agreements with educational institutions, related Federal academies,
other Federal agencies, State governments, labor organizations, safety training
firms, and oil and gas operators and related industries.

(ii)

Training
requirement

Such training shall be conducted by the Academy in
accordance with curriculum needs and assignment of instructional personnel
established by the Secretary.

(D)

Use of
departmental personnel

In performing functions under this
subsection, the Secretary shall use, to the extent practicable, the facilities
and personnel of the Department of the Interior. The Secretary may appoint or
assign to the Academy such officers and employees as the Secretary considers
necessary for the performance of the duties and functions of the
Academy.

(5)

Additional
training programs

(A)

In
general

The Secretary shall work with appropriate educational
institutions, operators, and representatives of oil and gas workers to develop
and maintain adequate programs with educational institutions and oil and gas
operators, that are designed—

(i)

to
enable persons to qualify for positions in the administration of this Act;
and

(ii)

to
provide for the continuing education of inspectors or other appropriate
Departmental personnel.

(B)

Financial and
technical assistance

The Secretary may provide financial and
technical assistance to educational institutions in carrying out this
paragraph.

(6)

Role of oil or
gas operators and related industries

The Secretary shall ensure
that any cooperative agreement or other collaboration with a representative of
an oil or gas operator or related industry in relation to a training program
established under paragraph (4) or paragraph (5) is limited to consultation
regarding curricula and does not extend to the provision of instructional
personnel.

103.

Office of
Natural Resources Revenue

(a)

Establishment

There
is established in the Department an Office of Natural Resources Revenue
(referred to in this section as the Office) to be headed by a
Director of Natural Resources Revenue (referred to in this section as the
Director).

(b)

Appointment and
compensation

(1)

In
general

The Director shall be appointed by the President, by and
with the advice and consent of the Senate, on the basis of—

(A)

professional
competence; and

(B)

capacity
to—

(i)

administer the
provisions of this Act; and

(ii)

ensure that the
fiduciary duties of the United States Government on behalf of the American
people, as they relate to development of nonrenewable and renewable energy and
mineral resources, are duly met.

(2)

Compensation

The
Director shall be compensated at the rate provided for Level V of the Executive
Schedule under section 5316 of title 5, United States Code.

(c)

Duties

(1)

In
general

The Secretary shall carry out, through the Office—

(A)

all functions,
powers, and duties vested in the Secretary and relating to the administration
of offshore royalty and revenue management functions pursuant to—

(i)

the
Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.); and

(ii)

this Act and all
other applicable Federal laws; and

(B)

all functions,
powers, and duties previously assigned to the Minerals Management Service
(including the authority to develop, promulgate, and enforce regulations)
regarding offshore—

(i)

royalty and
revenue collection;

(ii)

royalty and
revenue distribution;

(iii)

auditing and
compliance;

(iv)

investigation and
enforcement of royalty and revenue regulations; and

(v)

asset management
for onshore and offshore activities.

(d)

Oversight

In
order to provide transparency and ensure strong oversight over the revenue
program, the Secretary shall create within the Office an independent audit and
oversight program responsible for monitoring the performance of the Office with
respect to the duties and functions under subsection (c), and conducting
internal control audits of the operations of the Office.

104.

Ethics

(a)

Certification

The
Secretary shall certify annually that all Department of the Interior officers
and employees having regular, direct contact with lessees and operators as a
function of their official duties are in full compliance with all Federal
employee ethics laws and regulations under the Ethics in Government Act of 1978
(5 U.S.C. App.) and part 2635 of title 5, Code of Federal Regulations, and all
guidance issued under subsection (b).

(b)

Guidance

Not
later than 90 days after the date of enactment of this Act, the Secretary shall
issue supplementary ethics guidance for the employees for which certification
is required under subsection (a). The Secretary shall update the supplementary
ethics guidance not less than once every 3 years thereafter.

105.

References

(a)

Bureau of Ocean
Energy Management, Regulation and Enforcement

Any reference in
any law, rule, regulation, directive, instruction, certificate, or other
official document, in force immediately before the enactment of this
Act—

(1)

to the Minerals Management Service that
pertains to any of the duties and authorities referred to in section 101 is
deemed to refer and apply to the Bureau of Ocean Energy Management established
by section 101;

(2)

to the Director of the Minerals Management
Service that pertains to any of the duties and authorities referred to in
section 101 is deemed to refer and apply to the Director of the Bureau of Ocean
Energy Management; and

(3)

to any other position in the Minerals
Management Service that pertains to any of the duties and authorities referred
to in section 101 is deemed to refer and apply to that same or equivalent
position in the Bureau of Ocean Energy Management.

(b)

Bureau of safety
and environmental enforcement

Any reference in any law, rule,
regulation, directive, instruction, certificate, or other official document in
force immediately before the enactment of this Act—

(1)

to the Minerals
Management Service that pertains to any of the duties and authorities referred
to in section 102 is deemed to refer and apply to the Bureau of Safety and
Environmental Enforcement established by section 102;

(2)

to the Director of
the Minerals Management Service that pertains to any of the duties and
authorities referred to in section 102 is deemed to refer and apply to the
Director of the Bureau of Safety and Environmental Enforcement; and

(3)

to any other
position in the Minerals Management Service that pertains to any of the duties
and authorities referred to in section 102 is deemed to refer and apply to that
same or equivalent position in the Bureau of Safety and Environmental
Enforcement.

(c)

Office of
Natural Resources Revenue

Any reference in any law, rule,
regulation, directive, or instruction, or certificate or other official
document, in force immediately prior to enactment—

(1)

to the Minerals
Management Service that pertains to any of the duties and authorities referred
to in section 103 is deemed to refer and apply to the Office of Natural
Resources Revenue established by section 103;

(2)

to the Director of
the Minerals Management Service that pertains to any of the duties and
authorities referred to in section 103 is deemed to refer and apply to the
Director of Natural Resources Revenue; and

(3)

to any other
position in the Minerals Management Service that pertains to any of the duties
and authorities referred to in section 103 is deemed to refer and apply to that
same or equivalent position in the Office of Natural Resources Revenue.

106.

Abolishment of
Minerals Management Service

(a)

Abolishment

The
Minerals Management Service (in this section referred to as the
Service) is abolished.

(b)

Completed
administrative actions

(1)

In
general

Completed administrative actions of the Service shall not
be affected by the enactment of this Act, but shall continue in effect
according to their terms until amended, modified, superseded, terminated, set
aside, or revoked in accordance with law by an officer of the United States or
a court of competent jurisdiction, or by operation of law.

Subject to the authority of the Secretary of the
Interior and the officers of the Department of the Interior under this
Act—

(1)

pending
proceedings in the Service, including notices of proposed rulemaking, and
applications for licenses, permits, certificates, grants, and financial
assistance, shall continue, notwithstanding the enactment of this Act or the
vesting of functions of the Service in another agency, unless discontinued or
modified under the same terms and conditions and to the same extent that such
discontinuance or modification could have occurred if this Act had not been
enacted; and

(2)

orders issued in
such proceedings, and appeals therefrom, and payments made pursuant to such
orders, shall issue in the same manner and on the same terms as if this Act had
not been enacted, and any such orders shall continue in effect until amended,
modified, superseded, terminated, set aside, or revoked by an officer of the
United States or a court of competent jurisdiction, or by operation of
law.

(d)

Pending civil
actions

Subject to the authority of the Secretary of the Interior
or any officer of the Department of the Interior under this Act, pending civil
actions shall continue notwithstanding the enactment of this Act, and in such
civil actions, proceedings shall be had, appeals taken, and judgments rendered
and enforced in the same manner and with the same effect as if such enactment
had not occurred.

(e)

References

References
relating to the Service in statutes, Executive orders, rules, regulations,
directives, or delegations of authority that precede the effective date of this
Act are deemed to refer, as appropriate, to the Department, to its officers,
employees, or agents, or to its corresponding organizational units or
functions. Statutory reporting requirements that applied in relation to the
Service immediately before the effective date of this Act shall continue to
apply.

107.

Conforming
amendment

Section 5316 of
title 5, United States Code, is amended by striking Director, Bureau of
Mines, Department of the Interior. and inserting the following new
items:

Director, Bureau of Ocean Energy Management,
Department of the Interior.

Director, Bureau of Safety and Environmental
Enforcement, Department of the Interior.

Director, Office of Natural Resources Revenue,
Department of the
Interior.

.

108.

Outer
Continental Shelf Safety and Environmental Advisory Board

(a)

Establishment

The
Secretary shall establish, under the Federal Advisory Committee Act, an Outer
Continental Shelf Safety and Environmental Advisory Board (referred to in this
section as the Board), to provide the Secretary and the
Directors of the bureaus established by this title with independent scientific
and technical advice on safe and environmentally compliant nonrenewable and
renewable energy and mineral resource exploration, development, and production
activities.

(b)

Membership

(1)

Size

The
Board shall consist of not more than 12 members, chosen to reflect a range of
expertise in scientific, engineering, management, environmental, and other
disciplines related to safe and environmentally compliant renewable and
nonrenewable energy and mineral resource exploration, development, and
production activities. The Secretary shall consult with the National Academy of
Sciences and the National Academy of Engineering to identify potential
candidates for the Board.

(2)

Term

The
Secretary shall appoint Board members to staggered terms of not more than 4
years, and shall not appoint a member for more than 2 consecutive terms.

(3)

Balance

In
appointing members to the Board, the Secretary shall ensure a balanced
representation of industry- and nonindustry-related interests.

(c)

Chair

The
Secretary shall appoint the Chair for the Board.

(d)

Meetings

The
Board shall meet not less than 3 times per year and, at least once per year,
shall host a public forum to review and assess the overall safety and
environmental performance of Outer Continental Shelf nonrenewable and renewable
energy and mineral resource activities.

(e)

Offshore
drilling safety assessments and recommendations

As part of its
duties under this section, the Board shall, by not later than 180 days after
the date of enactment of this section and every 5 years thereafter, submit to
the Secretary a report that—

(1)

assesses offshore
oil and gas well control technologies, practices, voluntary standards, and
regulations in the United States and elsewhere;

(2)

assesses offshore oil and gas well control
technologies, practices, voluntary standards, regulations, and technologies and
practices used to estimate the flow rate of hydrocarbons in the United States
and elsewhere; and

(3)

as appropriate,
recommends modifications to the regulations issued under this Act to ensure
adequate protection of safety and the environment.

(f)

Reports

Reports
of the Board shall be submitted to the Congress and made available to the
public in electronically accessible form.

(g)

Travel
expenses

Members of the Board, other than full-time employees of
the Federal Government, while attending meeting of the Board or while otherwise
serving at the request of the Secretary or the Director while serving away from
their homes or regular places of business, may be allowed travel expenses,
including per diem in lieu of subsistence, as authorized by section 5703 of
title 5, United States Code, for individuals in the Government serving without
pay.

109.

Limitation on
effect on development of ocean renewable energy resource
facilities

Nothing in this
title shall delay development of ocean renewable energy resource facilities
including—

(1)

promotion of
offshore wind development;

(2)

planning, leasing,
licensing, and fee and royalty collection for such development of ocean
renewable energy resource facilities; and

the outer
Continental Shelf is a vital national resource reserve held by the Federal
Government for the public, that should be managed in a manner that—

(A)

recognizes the
need of the United States for domestic sources of energy, food, minerals, and
other resources;

(B)

minimizes the
potential impacts of development of those resources on the marine and coastal
environment and on safety; and

(C)

acknowledges the
long-term economic value to the United States of the balanced and orderly
management of those resources that safeguards the environment and respects the
multiple values and uses of the outer Continental
Shelf;

;

(2)

in paragraph (4),
by striking the period at the end and inserting a semicolon;

(3)

in paragraph (5),
by striking should be and inserting shall be, and
striking ; and and inserting a semicolon;

(4)

by redesignating
paragraph (6) as paragraph (7);

(5)

by inserting after
paragraph (5) the following:

(6)

exploration,
development, and production of energy and minerals on the outer Continental
Shelf should be allowed only when those activities can be accomplished in a
manner that minimizes—

(A)

harmful impacts to
life (including fish and other aquatic life) and health;

(B)

damage to the
marine, coastal, and human environments and to property; and

for independent
third-party certification requirements of well casing and cementing programs
and procedures;

(11)

for the
establishment of mandatory safety and environmental management systems by
operators on the outer Continental Shelf;

(12)

for procedures
and technologies to be used during drilling operations to minimize the risk of
ignition and explosion of
hydrocarbons;

;

(7)

in subsection (a),
by striking the period at the end of paragraph (13), as so redesignated, and
inserting ; and, and by adding at the end the following:

(14)

ensuring
compliance with other applicable environmental and natural resource
conservation laws, including the response plan requirements of section 311(j)
of the Federal Water Pollution Control Act (33 U.S.C.
1321(j)).

;
and

(8)

by adding at the
end the following new subsections:

(k)

Documents
incorporated by reference

Any documents incorporated by reference
in regulations promulgated by the Secretary pursuant to this Act shall be made
available to the public, free of charge, on a website maintained by the
Secretary.

(l)

Regulatory
standards for blowout preventers, well design, and cementing

(1)

In
general

In promulgating regulations under this Act related to
blowout preventers, well design, and cementing, the Secretary shall ensure that
such regulations include the minimum standards included in paragraphs (2), (3),
and (4), unless, after notice and an opportunity for public comment, the
Secretary determines that a standard required under this subsection would be
less effective in ensuring safe operations than an available alternative
technology or practice. Such regulations shall require independent third-party
certification, pursuant to paragraph (5), of blowout preventers, well design,
and cementing programs and procedures prior to the commencement of drilling
operations. Such regulations shall also require recertification by an
independent third-party certifier, pursuant to paragraph (5), of a blowout
preventer upon any material modification to the blowout preventer or well
design and of a well design upon any material modification to the well
design.

(2)

Blowout
preventers

Subject to paragraph (1), regulations issued under
this Act for blowout preventers shall include at a minimum the following
requirements:

(A)

Two sets of blind
shear rams appropriately spaced to prevent blowout preventer failure if a drill
pipe joint or drill tool is across one set of blind shear rams during a
situation that threatens loss of well control.

(B)

Redundant
emergency backup control systems capable of activating the relevant components
of a blowout preventer, including when the communications link or other
critical links between the drilling rig and the blowout preventer are destroyed
or inoperable.

(C)

Regular testing of
the emergency backup control systems, including testing during deployment of
the blowout preventer.

Subject to paragraph (1), regulations issued under this
Act for well design standards shall include at a minimum the following
requirements:

(A)

In connection with
the installation of the final casing string, the installation of at least two
independent, tested mechanical barriers, in addition to a cement barrier,
across each flow path between hydrocarbon bearing formations and the blowout
preventer.

(B)

That wells shall
be designed so that a failure of one barrier does not significantly increase
the likelihood of another barrier’s failure.

(C)

That the casing
design is appropriate for the purpose for which it is intended under reasonably
expected wellbore conditions.

(D)

The installation
and verification with a pressure test of a lockdown device at the time the
casing is installed in the wellhead.

(4)

Cementing

Subject
to paragraph (1), regulations issued under this Act for cementing standards
shall include at a minimum the following requirements:

(A)

Adequate
centralization of the casing to ensure proper distribution of cement.

(B)

A full circulation
of drilling fluids prior to cementing.

(C)

The use of an
adequate volume of cement to prevent any unintended flow of hydrocarbons
between any hydrocarbon-bearing formation zone and the wellhead.

(D)

Cement bond logs
for all cementing jobs intended to provide a barrier to hydrocarbon
flow.

(E)

Cement bond logs
or such other integrity tests as the Secretary may prescribe for cement jobs
other than those identified in subparagraph (D).

(5)

Independent
third-party certification

The
Secretary shall issue regulations that establish appropriate standards for the
approval of independent third-party certifiers capable of exercising
certification functions for blowout preventers, well design, and cementing. For
any certification required for regulations related to blowout preventers, well
design, or cementing, the operator shall use a qualified independent
third-party certifier chosen by the Secretary. The costs of any certification
shall be borne by the operator. The regulations issued under this subsection
shall require the following:

(A)

Prior to the
commencement of drilling through a blowout preventer at any covered well, the
operator shall obtain a written and signed certification from an independent
third party approved and assigned by the appropriate Federal official pursuant
to subsection (a) that the third party—

(i)

conducted or
oversaw a detailed physical inspection, design review, system integration test,
and function and pressure testing of the blowout preventer; and

(ii)

in the
third-party certifier’s best professional judgment, determined that—

(I)

the blowout
preventer is designed for the specific drilling conditions, equipment, and
location where it will be installed and for the specific well design;

(II)

the blowout
preventer and all of its components and control systems will operate
effectively and as designed when installed;

(III)

each blind shear
ram or casing shear ram will function effectively under likely emergency
scenarios and is capable of shearing the drill pipe or casing, as applicable,
that will be used when installed;

(IV)

emergency control
systems will function under the conditions in which they will be installed;
and

(V)

the blowout
preventer has not been compromised or damaged from any previous service.

(B)

Not less than once every 180 days after
commencement of drilling through a blowout preventer at any covered well, or
upon implementation of any material modification to the blowout preventer or
well design at such a well, the operator shall obtain a written and signed
recertification from an independent third party approved and assigned by the
appropriate Federal official pursuant to subsection (a) that the requirements
in clause (ii) of subparagraph (A) continue to be met with the systems as
deployed. Such recertification determinations shall consider the results of
tests required by the appropriate Federal official, including testing of the
emergency control systems of a blowout preventer.

(C)

Certifications
under subparagraph (A), recertifications under subparagraph (A), and results of
and data from all tests conducted pursuant to this subsection shall be promptly
submitted to the appropriate Federal official and made publicly
available.

(6)

Application to
inshore waters; state implementation

(A)

In
general

Requirements established under this subsection shall
apply, as provided in subparagraph (B), to offshore drilling operations that
take place on lands that are landward of the outer Continental Shelf and
seaward of the line of mean high tide, and that the Secretary determines, based
on criteria established by rule, could, in the event of a blowout, lead to
extensive and widespread harm to safety or the environment.

(B)

Submission of
state regulatory regime

Any State may submit to the Secretary a
plan demonstrating that the State’s regulatory regime for wells identified in
subparagraph (A) establishes requirements for such wells that are comparable
to, or alternative requirements providing an equal or greater level of safety
than, those established under this section for wells on the outer Continental
Shelf. The Secretary shall promptly determine, after notice and an opportunity
for public comment, whether a State’s regulatory regime meets the standard set
forth in the preceding sentence. If the Secretary determines that a State’s
regulatory regime does not meet such standard, the Secretary shall identify the
deficiencies that are the basis for such determination and provide a reasonable
period of time for the State to remedy the deficiencies. If the State does not
do so within such reasonable period of time, the Secretary shall apply the
requirements established under this section to offshore drilling operations
described in subparagraph (A) that are located in such State, until such time
as the Secretary determines that the deficiencies have been remedied.

(m)

Rulemaking
dockets

(1)

Establishment

Not
later than the date of proposal of any regulation under this Act, the Secretary
shall establish a publicly available rulemaking docket for such
regulation.

(2)

Documents to be
included

The Secretary shall include in the docket—

(A)

all written
comments and documentary information on the proposed rule received from any
person in the comment period for the rulemaking, promptly upon receipt by the
Secretary;

(B)

the transcript of
each public hearing, if any, on the proposed rule, promptly upon receipt from
the person who transcribed such hearing; and

(C)

all documents that
become available after the proposed rule is published and that the Secretary
determines are of central relevance to the rulemaking, by as soon as possible
after their availability.

(3)

Proposed and
draft final rule and associated material

The Secretary shall
include in the docket—

(A)

each draft
proposed rule submitted by the Secretary to the Office of Management and Budget
for any interagency review process prior to proposal of such rule, all
documents accompanying such draft, all written comments thereon by other
agencies, and all written responses to such written comments by the Secretary,
by no later than the date of proposal of the rule; and

(B)

each draft final
rule submitted by the Secretary for such review process before issuance of the
final rule, all such written comments thereon, all documents accompanying such
draft, and all written responses thereto, by no later than the date of issuance
of the final
rule.

.

(b)

Conforming
amendment

Subsection (g) of section 25 of the Outer Continental
Shelf Lands Act (43 U.S.C. 1351), as redesignated by section 215(4) of this
Act, is further amended by striking paragraph (8) of section 5(a) of
this Act each place it appears and inserting paragraph (13) of
section 5(a) of this Act.

206.

Chemical Safety
Board Investigation

Section
112(r)(6) of the Clean Air Act (42 U.S.C. 7412(r)(6)) is amended by adding at
the end the following:

(T)

Agreement

Not
later than 30 days after the date of enactment of this subparagraph, the
Chemical Safety and Hazard Investigation Board, the Coast Guard, and the
Department of the Interior shall enter into an agreement in order to facilitate
the Board’s investigation of the facts, circumstances, and causes of an
accidental fire, explosion, or release involving an offshore oil or gas
exploration or production facility (regardless of whether there is a resulting
marine oil spill). Such agreement shall provide the Board with the
following:

(i)

Unrestricted
access to any personnel, records, witness statements, recorded witness
interviews, and physical or documentary evidence related to an offshore oil or
gas exploration or production facility under investigation collected or
possessed by the Coast Guard or the Department of the Interior.

(ii)

The ability to
conduct recorded interviews of all agency personnel and contractors and the
right to obtain records related to Federal regulatory, inspection, enforcement,
and safety programs for offshore oil or gas exploration and production.

(iii)

The right to
participate equally in planning and executing any testing of relevant items of
physical evidence related to the cause of the accident.

(iv)

Such support and
facilities as may be necessary for the Board’s investigation, including
transportation to the accident site, coastal waters and affected areas, and
other offshore oil or gas exploration and production facilities without cost to
the Board.

(U)

Recommendations

Based
on an investigation of an accidental fire, explosion, or release involving an
offshore oil or gas exploration or production facility, the Board shall make
recommendations with respect to preventing subsequent accidental fires,
explosions, or releases to the Secretary of the Interior and the Commandant of
the Coast Guard. The Secretary of the Interior and the Commandant of the Coast
Guard shall respond formally and in writing to any recommendation of the Board
within 90 days of the receipt of such
recommendation.

.

207.

Leases,
easements, and rights-of-way

(a)

Financial
assurance and fiscal responsibility

Section 8 of the Outer
Continental Shelf Lands Act (43 U.S.C. 1337) is amended by adding at the end
the following:

(q)

Review of bond
and surety amounts

Not later than May 1, 2011, and every 5 years
thereafter, the Secretary shall review the minimum financial responsibility
requirements for leases issued under this section and shall ensure that any
bonds or surety required are adequate to comply with the requirements of this
Act or the Oil Pollution Act of 1990 (33 U.S.C. 2701 et seq.).

(r)

Periodic fiscal
review and report

(1)

In
general

Not later than 1 year after the date of enactment of this
subsection and every 3 years thereafter, the Secretary shall carry out a review
and prepare a report setting forth—

(A)(i)

the royalty and rental
rates included in new offshore oil and gas leases; and

(ii)

the rationale for the
rates;

(B)

whether, in the
view of the Secretary, the royalty and rental rates described in subparagraph
(A) will yield a fair return to the public while promoting the production of
oil and gas resources in a timely manner;

(C)(i)

the minimum bond or
surety amounts required pursuant to offshore oil and gas leases; and

(ii)

the rationale for the minimum
amounts;

(D)

whether the bond
or surety amounts described in subparagraph (C) are adequate to comply with
subsection (q); and

(E)

whether the
Secretary intends to modify the royalty or rental rates, or bond or surety
amounts, based on the review.

(2)

Public
participation

In carrying out a review and preparing a report
under paragraph (1), the Secretary shall provide to the public an opportunity
to participate.

(3)

Report
deadline

Not later than 30 days after the date on which the
Secretary completes a report under paragraph (1), the Secretary shall transmit
copies of the report to—

(A)

the Committee on
Energy and Natural Resources of the Senate; and

(B)

the Committee on
Natural Resources of the House of Representatives.

(s)

Comparative
review of fiscal system

(1)

In
general

Not later than 2 years after the date of enactment of
this subsection and every 5 years thereafter, the Secretary shall carry out a
comprehensive review of all components of the Federal offshore oil and gas
fiscal system, including requirements for—

(A)

bonus bids;

(B)

rental rates;
and

(C)

royalties.

(2)

Requirements

(A)

Contents;
scope

A review under paragraph (1) shall include—

(i)

the information
and analyses necessary to compare the offshore bonus bids, rents, and royalties
of the Federal Government to the offshore bonus bids, rents, and royalties of
other resource owners, including States and foreign countries; and

(ii)

an assessment of
the overall offshore oil and gas fiscal system in the United States, as
compared to foreign countries.

(B)

Independent
advisory committee

In carrying out a review under paragraph (1),
the Secretary shall convene and seek the advice of an independent advisory
committee comprised of oil and gas and fiscal experts from States, Indian
tribes, academia, the energy industry, and appropriate nongovernmental
organizations.

(3)

Report

(A)

In
general

The Secretary shall prepare a report that
contains—

(i)

the contents and
results of the review carried out under paragraph (1) for the period covered by
the report; and

(ii)

any
recommendations of the Secretary based on the contents and results of the
review.

(B)

Report
deadline

Not later than 30 days after the date on which the
Secretary completes a report under paragraph (1), the Secretary shall transmit
copies of the report to the Committee on Natural Resources of the House of
Representatives and the Committee on Energy and Natural Resources of the
Senate.

No bid or request for a lease, easement, or
right-of-way under this section, or for a permit to drill under section 11(d),
may be submitted by any person unless the person certifies to the Secretary
that the person (including any related person and any predecessor of such
person or related person) meets each of the following requirements:

(A)

The person is
meeting due diligence, safety, and environmental requirements on other leases,
easements, and rights-of-way.

(B)

In the case of a
person that is a responsible party for a vessel or a facility from which oil is
discharged, for purposes of section 1002 of the Oil Pollution Act of 1990 (33
U.S.C. 2702), the person has met all of its obligations under that Act to
provide compensation for covered removal costs and damages.

(C)

In the 7-year
period ending on the date of certification, the person, in connection with
activities in the oil industry (including exploration, development, production,
transportation by pipeline, and refining)—

(i)

was not found to
have committed willful or repeated violations under the Occupational Safety and
Health Act of 1970 (29 U.S.C. 651 et seq.) (including State plans approved
under section 18(c) of such Act (29 U.S.C. 667(c))) at a rate that is higher
than five times the rate determined by the Secretary to be the oil industry
average for such violations for such period;

(ii)

was not convicted
of a criminal violation for death or serious bodily injury;

(iii)

did not have
more than 10 fatalities at its exploration, development, and production
facilities and refineries as a result of violations of Federal or State health,
safety, or environmental laws;

(iv)

was not assessed,
did not enter into an agreement to pay, and was not otherwise required to pay,
civil penalties and criminal fines for violations the person was found to have
committed under the Federal Water Pollution Control Act (33 U.S.C. 1251 et
seq.) (including State programs approved under sections 402 and 404 of such Act
(33 U.S.C. 1342 and 1344)) in a total amount that is equal to more than
$10,000,000; and

(v)

was not assessed,
did not enter into an agreement to pay, and was not otherwise required to pay,
civil penalties and criminal fines for violations the person was found to have
committed under the Clean Air Act (42 U.S.C. 7401 et seq.) (including State
plans approved under section 110 of such Act (42 U.S.C. 7410)) in a total
amount that is equal to more than $10,000,000.

(2)

Enforcement

If
the Secretary determines that a certification made under paragraph (1) is
false, the Secretary shall cancel any lease, easement, or right of way and
shall revoke any permit with respect to which the certification was required
under such paragraph.

(3)

Definition of
related person

For purposes of this subsection, the term
related person includes a parent, subsidiary, affiliate, member
of the same controlled group, contractor, subcontractor, a person holding a
controlling interest or in which a controlling interest is held, and a person
with substantially the same board members, senior officers, or
investors.

in the matter
preceding subparagraph (A), by inserting or after 1501 et
seq.),, and by striking or other applicable law,;
and

(B)

by amending
subparagraph (D) to read as follows:

(D)

use, for
energy-related purposes, facilities currently or previously used for activities
authorized under this Act, except that any oil and gas energy-related uses
shall not be authorized in areas in which oil and gas preleasing, leasing, and
related activities are prohibited by a
moratorium.

;
and

(2)

in paragraph
(4)—

(A)

in subparagraph
(E), by striking coordination and inserting in
consultation; and

(B)

in subparagraph
(J)(ii), by inserting a potential site for an alternative energy
facility, after deepwater port,.

(d)

Review of
impacts of lease sales on the marine and coastal environment by
secretary

Section 8 of the Outer Continental Shelf Lands Act (43
U.S.C. 1337) is amended by adding at the end of subsection (a) the
following:

(9)

At least 60 days
prior to any lease sale, the Secretary shall request a review by the Secretary
of Commerce of the proposed sale with respect to impacts on the marine and
coastal environment. The Secretary of Commerce shall complete and submit in
writing the results of that review within 60 days after receipt of the
Secretary of the Interior’s request. If the Secretary of Commerce makes
specific recommendations related to a proposed lease sale to reduce impacts on
the marine and coastal environment, and the Secretary rejects or modifies such
recommendations, the Secretary shall provide in writing justification for
rejecting or modifying such
recommendations.

.

(e)

Limitation on
lease tract size

Section 8(b)(1) of the Outer Continental Shelf
Lands Act (43 U.S.C. 1337(b)(1)) is amended by striking , unless the
Secretary finds that a larger area is necessary to comprise a reasonable
economic production unit.

Section 8(b) of the Outer Continental Shelf Lands Act
(43 U.S.C. 1337(b)) is amended by striking An oil and gas lease issued
pursuant to this section shall and inserting An oil and gas
lease may be issued pursuant to this section only if the Secretary determines
that activities under the lease are not likely to result in any condition
described in section 5(a)(2)(A)(i), and shall.

208.

Exploration
plans

(a)

Worst case
scenario discharges

Not later than 180 days after the date of
enactment of this Act, and every 5 years thereafter, the Secretary shall
publish an estimate of the worst-case scenario discharges, including subsurface
discharges, that are possible in each Outer Continental Shelf region, based on
the oil and gas exploration, development, and production activities that are
being conducted or are planned to be conducted at various locations and depths
in each area.

(b)

Limitation on
harm from agency exploration

Section 11(a)(1) of the Outer
Continental Shelf Lands Act (43 U.S.C. 1340(a)(1)) is amended by striking
, which do not interfere with or endanger actual operations under any
lease maintained or granted pursuant to this Act, and which are not unduly
harmful to aquatic life in such area and inserting if a permit
authorizing such activity is issued by the Secretary under subsection
(g).

in paragraph
(1)(A), as designated by the amendment made by paragraph (1) of this
subsection—

(A)

by striking
and the provisions of such lease and inserting the
provisions of such lease, and other applicable environmental and natural
resource conservation laws; and

(B)

by striking the
fourth sentence and inserting the following:

(B)

The Secretary shall approve such
plan, as submitted or modified, within 90 days after its submission and it is
made publicly accessible by the Secretary, or within such additional time as
the Secretary determines is necessary to complete any environmental, safety, or
other reviews, if the Secretary determines that—

(i)

any proposed activity under such plan
is not likely to result in any condition described in section
5(a)(2)(A)(i);

(ii)

the plan complies with other
applicable environmental or natural resource conservation laws;

(iii)

in the case of geophysical surveys,
the applicant will use the best available technologies and methods to minimize
impacts on marine life; and

(iv)

the applicant has demonstrated the
capability and technology to respond immediately and effectively to a
worst-case-scenario discharge, which shall be estimated for the proposed
activities contained in the exploration plan, utilizing, in part, the relevant
worst-case scenario discharge estimate published by the Secretary under section
208(a) of the Implementing the
Recommendations of the BP Oil Spill Commission Act of
2011.

;
and

(3)

by adding at the
end the following:

(5)

If the Secretary
requires greater than 90 days to review an exploration plan submitted pursuant
to any oil and gas lease issued or maintained under this Act, then the
Secretary may provide for a suspension of that lease pursuant to section 5
until the review of the exploration plan is
completed.

An exploration
plan submitted under this subsection shall include, in the degree of detail
that the Secretary may by regulation require—

(A)

a schedule of
anticipated exploration activities to be undertaken;

(B)

a detailed and
accurate description of equipment to be used for such activities,
including—

(i)

a
description of each drilling unit;

(ii)

a
statement of the design and condition of major safety-related pieces of
equipment, including independent third party certification of such equipment;
and

(iii)

a description of
any new technology to be used;

(C)

a map showing the
location of each well to be drilled;

(D)

a scenario for the
potential blowout of the well involving the highest potential volume of liquid
hydrocarbons, along with a complete description of a response plan to both
control the blowout and manage the accompanying discharge of hydrocarbons,
including the likelihood for surface intervention to stop the blowout, the
availability of a rig to drill a relief well, an estimate of the time it would
take to drill a relief well, a description of other technology that may be used
to regain control of the well or capture escaping hydrocarbons and the
potential timeline for using that technology for its intended purpose, and the
strategy, organization, and resources necessary to avoid harm to the
environment from hydrocarbons;

(E)

an analysis of the
potential impacts of the worst-case-scenario discharge, which shall be
estimated for the proposed activities contained in the exploratory plan,
utilizing, in part, the worst-case-scenario discharge performed by the
Secretary under section 208(a) of hydrocarbons on the marine, coastal, and
human environments for activities conducted pursuant to the proposed
exploration plan; and

(F)

such other
information deemed pertinent by the
Secretary.

.

(e)

Drilling
permits

Section 11(d) of the Outer Continental Shelf Lands Act
(43 U.S.C. 1340(d)) is amended by to read as follows:

(d)

Drilling
permits

(1)

In
general

The Secretary shall, by regulation, require that any
lessee operating under an approved exploration plan obtain a permit prior to
drilling any well in accordance with such plan, and prior to any significant
modification of the well design as originally approved by the Secretary.

(2)

Engineering
review required

The Secretary may not grant any drilling permit
or modification of the permit prior to completion of a full engineering review
of the well system, including a determination that critical safety systems,
including blowout prevention, will utilize best available technology and that
blowout prevention systems will include redundancy and remote triggering
capability.

(3)

Operator safety
and environmental management required

The Secretary shall not
grant any drilling permit or modification of the permit prior to completion of
a safety and environmental management plan to be utilized by the operator
during all well
operations.

inserting
and after consultation with the Secretary of Commerce, after
in accordance with regulations issued by the Secretary;

(3)

striking the
and at the end of paragraph (2);

(4)

in paragraph (3)
striking will not be unduly harmful to and inserting is
not likely to harm;

(5)

striking the
period at the end of paragraph (3) and inserting a semicolon; and

(6)

adding at the end
the following:

(4)

the exploration
will be conducted in accordance with other applicable environmental and natural
resource conservation laws;

(5)

in the case of
geophysical surveys, the applicant will use the best available technologies and
methods to minimize impacts on marine life; and

(6)

in the case of
drilling operations, the applicant has available oil spill response and
clean-up equipment and technology that has been demonstrated to be capable of
effectively remediating a worst-case release of
oil.

.

(g)

Environmental
review of plans; deepwater plan; plan disapproval

Section 11 of
the Outer Continental Shelf Lands Act (43 U.S.C. 1340) is amended by adding at
the end the following:

(i)

Environmental
review of plans

The Secretary shall treat the approval of an
exploration plan, or a significant revision of such a plan, as an agency action
requiring preparation of an environmental assessment or environmental impact
statement in accordance with the National Environmental Policy Act of 1969 (42
U.S.C. 4321 et seq.), and shall require that such plan—

(1)

be based on the
best available technology to ensure safety in carrying out both the drilling of
the well and any oil spill response; and

(2)

contain a
technical systems analysis of the safety of the proposed activity, the blowout
prevention technology, and the blowout and spill response plans.

(j)

Disapproval of
plan

(1)

In
general

The Secretary shall disapprove the plan if the Secretary
determines, because of exceptional geological conditions in the lease areas,
exceptional resource values in the marine or coastal environment, or other
exceptional circumstances, that—

(A)

implementation of
the plan would probably cause serious harm or damage to life (including fish
and other aquatic life), to property, to any mineral deposits (in areas leased
or not leased), to the national security or defense, or to the marine, coastal,
or human environments;

(B)

the threat of harm
or damage will not disappear or decrease to an acceptable extent within a
reasonable period of time; and

(C)

the advantages of
disapproving the plan outweigh the advantages of exploration.

(2)

Cancellation of
lease for disapproval of plan

If a plan is disapproved under this
subsection, the Secretary may cancel such lease in accordance with subsection
(c)(1) of this
section.

in subsection (a)
in the second sentence by striking meet national energy needs
and inserting balance national energy needs and the protection of the
marine and coastal environment and all the resources in that
environment,;

by inserting
, including at least three consecutive years of data after
information;

(4)

in subsection
(a)(2)(D), by inserting potential and existing sites of renewable energy
installations, after deepwater ports,;

(5)

in subsection (a)(2)(H), by inserting
including the availability of infrastructure to support oil spill
response before the period;

(6)

in subsection
(a)(3), by—

(A)

striking to
the maximum extent practicable,;

(B)

striking
obtain a proper balance between and inserting
minimize; and

(C)

striking
damage, and all that follows through the period and inserting
damage and adverse impacts on the marine, coastal, and human
environments, and enhancing the potential for the discovery of oil and
gas.;

(7)

in subsection
(b)(1), by inserting environmental, marine, and energy after
obtain;

(8)

in subsection
(b)(2), by inserting environmental, marine, and after
interpret the;

(9)

in subsection
(b)(3), by striking and after the semicolon at the end;

(10)

by striking the
period at the end of subsection (b)(4) and inserting a semicolon;

(11)

by adding at the
end of subsection (b) the following:

(5)

provide technical
review and oversight of exploration plans and a systems review of the safety of
well designs and other operational decisions;

(6)

conduct regular
and thorough safety reviews and inspections; and

(7)

enforce all
applicable laws and
regulations.

;

(12)

in the first
sentence of subsection (c)(1), by inserting the National Oceanic and
Atmospheric Administration and after including;

(13)

in subsection
(c)(2)—

(A)

by inserting after
the first sentence the following: The Secretary shall also submit a copy
of such proposed program to the head of each Federal agency referred to in, or
that otherwise provided suggestions under, paragraph (1).;

(B)

in the third
sentence, by inserting or head of a Federal agency after
such Governor; and

(C)

in the fourth
sentence, by inserting or between the Secretary and the head of a
Federal agency, after affected State,;

(14)

by redesignating subsection (c)(3) as
subsection (c)(4) and by inserting before subsection (c)(4) (as so
redesignated) the following:

(3)

At least 60 days prior to the publication
of a proposed leasing program under this section, the Secretary shall request a
review by the Secretary of Commerce of the proposed leasing program with
respect to impacts on the marine and coastal environments. If the Secretary
rejects or modifies any of the recommendations made by the Secretary of
Commerce concerning the location, timing, or conduct of leasing activities
under the proposed leasing program, the Secretary shall provide in writing
justification for rejecting or modifying such
recommendations.

;

(15)

in the second
sentence of subsection (d)(2), by inserting , the head of a Federal
agency, after Attorney General;

(16)

in subsection
(g), by inserting after the first sentence the following: Such
information may include existing inventories and mapping of marine resources
previously undertaken by the Department of the Interior and the National
Oceanic and Atmospheric Administration, information provided by the Department
of Defense, and other available data regarding energy or mineral resource
potential, navigation uses, fisheries, aquaculture uses, recreational uses,
habitat, conservation, and military uses on the outer Continental
Shelf.; and

(17)

by adding at the
end the following new subsection:

(i)

Research and
development

The Secretary
shall carry out a program of research and development to ensure the continued
improvement of methodologies for characterizing resources of the outer
Continental Shelf and conditions that may affect the ability to develop and use
those resources in a safe, sound, and environmentally responsible manner. Such
research and development activities may include activities to provide accurate
estimates of energy and mineral reserves and potential on the Outer Continental
Shelf and any activities that may assist in filling gaps in environmental data
needed to develop each leasing program under this section. As part of such
program the Secretary, in cooperation with the Secretary of Energy, the
Secretary of Commerce, and the Director of the United States Geologic Survey,
shall conduct joint research to systematically collect critical scientific
data, fill research gaps, and provide comprehensive, ecosystem-based scientific
review of outer Continental Shelf Areas that are currently or will likely be
opened for oil and gas leasing, and for offshore areas being considered for the
siting of sources of renewable
energy.

.

210.

Environmental
studies

(a)

Information
needed for assessment and management of environmental
impacts

Section 20 of the Outer Continental Shelf Lands Act (43
U.S.C. 1346) is amended by striking so much as precedes of any
area in subsection (a)(1) and inserting the following:

20.

Environmental
studies

(a)(1)

The Secretary, in cooperation with the
Secretary of Commerce, shall conduct a study no less than once every three
years

The Secretary
shall conduct research to identify and reduce data gaps related to impacts of
deepwater hydrocarbon spills, including—

(1)

effects to benthic
substrate communities and species;

(2)

water column
habitats and species;

(3)

surface and
coastal impacts from spills originating in deep waters; and

(4)

the use of
dispersants.

.

(c)

Research

Within 1 year after the date of enactment
of this Act, the Secretary, in cooperation with the Secretary of Commerce,
shall conduct research to identify and reduce data gaps related to the impacts
of offshore oil and gas development in the Arctic region and to identify and
reduce gaps in oil spill response capabilities.

in subsection (a),
by striking Upon the date of enactment of this section, and
inserting Within 6 months after the date of enactment of the
Outer Continental Shelf Lands Act Amendments
of 2011 and every three years thereafter,;

(2)

in subsection (b)
by—

(A)

striking
for the artificial islands, installations, and other devices referred to
in section 4(a)(1) of and inserting under;

(B)

striking
which the Secretary determines to be economically feasible;
and

(C)

adding at the end
the following: Not later than 6 months after the date of enactment of
the Outer Continental Shelf Lands Act Amendments of 2011 and every 3 years
thereafter, the Secretary shall, in consultation with the Outer Continental
Shelf Safety and Environmental Advisory Board established under title I of the
Implementing the Recommendations of the BP
Oil Spill Commission Act of 2011, identify and publish an updated
list of (1) the best available technologies for key areas of well design and
operation, including blowout prevention and blowout and oil spill response and
(2) technology needs for which the Secretary intends to identify best available
technologies in the future.; and

(3)

by adding at the
end the following:

(g)

Safety
case

Not later than 6 months after the date of enactment of the
Outer Continental Shelf Lands Act Amendments
of 2011, the Secretary shall promulgate regulations requiring a
safety case be submitted along with each new application for a permit to drill
on the outer Continental Shelf. Not later than 5 years after the date final
regulations promulgated under this subsection go into effect, and not less than
every 5 years thereafter, the Secretary shall enter into an arrangement with
the National Academy of Engineering to conduct a study to assess the
effectiveness of these regulations and to recommend improvements in their
administration.

(h)

Offshore
technology research and risk assessment program

(1)

In
general

The Secretary shall carry out a program of research,
development, and risk assessment to address technology and development issues
associated with exploration for, and development and production of, energy and
mineral resources on the outer Continental Shelf, with the primary purpose of
informing its role relating to safety, environmental protection, and spill
response.

(2)

Specific focus
areas

The program under this subsection shall include research
and development related to—

(A)

risk assessment,
using all available data from safety and compliance records both within the
United States and internationally;

(B)

analysis of
industry trends in technology, investment, and frontier areas;

(C)

reviews of best
available technologies, including those associated with pipelines, blowout
preventer mechanisms, casing, well design, and other associated infrastructure
related to offshore energy development;

(D)

oil spill response
and mitigation, including reviews of the best available technology for oil
spill response and mitigation and the availability and accessibility of such
technology in each region where leasing is taking place;

(E)

risk associated
with human factors;

(F)

technologies and
methods to reduce the impact of geophysical exploration activities on marine
life; and

The
Secretary and the Secretary of the department in which the Coast Guard is
operating shall individually, or jointly if they so agree, promulgate
regulations to provide for—

(1)

scheduled onsite
inspection, at least once a year, of each facility on the outer Continental
Shelf which is subject to any environmental or safety regulation promulgated
pursuant to this Act, which inspection shall include all safety equipment
designed to prevent or ameliorate blowouts, fires, spillages, or other major
accidents;

(2)

scheduled onsite inspection, at least once
a month, of each facility on the outer Continental Shelf engaged in drilling
operations and which is subject to any environmental or safety regulation
promulgated pursuant to this Act, which inspection shall include validation of
the safety case required for the facility under section 21(g) and
identifications of deviations from the safety case, and shall include all
safety equipment designed to prevent or ameliorate blowouts, fires, spillages,
or other major accidents;

(3)

periodic onsite
inspection without advance notice to the operator of such facility to assure
compliance with such environmental or safety regulations; and

(4)

periodic audits of
each required safety and environmental management plan, and any associated
safety case, both with respect to their implementation at each facility on the
outer Continental Shelf for which such a plan or safety case is required and
with respect to onshore management support for activities at such a
facility.

;

(2)

in subsection
(d)(1)—

(A)

by striking
each major fire and each major oil spillage and inserting
each major fire, each major oil spillage, each loss of well control, and
any other accident that presented a serious risk to human or environmental
safety; and

(B)

by inserting
before the period at the end the following: , as a condition of the
lease or permit;

(3)

in subsection
(d)(2), by inserting before the period at the end the following: as a
condition of the lease or permit;

(4)

in subsection (e),
by adding at the end the following: Any such allegation from any
employee of the lessee or any subcontractor of the lessee shall be investigated
by the Secretary.;

(5)

in subsection
(b)(1), by striking recognized and inserting
uncontrolled; and

(6)

by adding at the
end the following:

(g)

Information on
causes and corrective actions

For any incident investigated under
this section, the Secretary shall promptly make available to all lessees and
the public technical information about the causes and corrective actions taken.
All data and reports related to any such incident shall be maintained in a data
base available to the public.

(h)

Operator’s
annual certification

(1)

The Secretary, in
cooperation with the Secretary of the department in which the Coast Guard is
operating, shall require all operators of all new and existing drilling and
production operations to annually certify that their operations are being
conducted in accordance with applicable law and regulations.

(2)

Each certification
shall include, but, not be limited to, statements that verify the operator
has—

(A)

examined all well
control system equipment (both surface and subsea) being used to ensure that it
has been properly maintained and is capable of shutting in the well during
emergency operations;

(B)

examined and
conducted tests to ensure that the emergency equipment has been function-tested
and is capable of addressing emergency situations;

(C)

reviewed all rig
drilling, casing, cementing, well abandonment (temporary and permanent),
completion, and workover practices to ensure that well control is not
compromised at any point while emergency equipment is installed on the
wellhead;

(D)

reviewed all
emergency shutdown and dynamic positioning procedures that interface with
emergency well control operations;

(E)

taken the
necessary steps to ensure that all personnel involved in well operations are
properly trained and capable of performing their tasks under both normal
drilling and emergency well control operations; and

(F)

updated the operator’s response plan
required under section 25(c)(7) and exploration plans required under section
11(c)(3) to reflect the best available technology, including the availability
of such technology.

(i)

CEO
statement

(1)

In
general

The Secretary shall not approve any application for a
permit to drill a well under this Act unless such application is accompanied by
a statement in which the chief executive officer of the applicant attests, in
writing, that—

(A)

the applicant is
in compliance with all applicable environmental and natural resource
conservation laws;

(B)

the applicant has
the capability and technology to respond immediately and effectively to a
worst-case oil spill in real-world conditions in the area of the proposed
activity under the permit;

(C)

the applicant has
an oil spill response plan that ensures that the applicant has the capacity to
promptly control and stop a blowout in the event that well control measures
fail;

(D)

the blowout
preventer to be used during the drilling of the well has redundant systems to
prevent or stop a blowout for all foreseeable blowout scenarios and failure
modes;

(E)

the well design is
safe; and

(F)

the applicant has
the capability to expeditiously begin and complete a relief well if necessary
in the event of a blowout.

(2)

Civil
penalty

Any chief executive officer who makes a false
certification under paragraph (1) shall be liable for a civil penalty under
section 24.

(j)

Third-Party
certification

All operators that modify or upgrade any emergency
equipment placed on any operation to prevent blow-outs or other well control
events, shall have an independent third party conduct a detailed physical
inspection and design review of such equipment within 30 days of its
installation. The independent third party shall certify that the equipment will
operate as originally designed and any modifications or upgrades conducted
after delivery have not compromised the design, performance, or functionality
of the equipment. Failure to comply with this subsection shall result in
suspension of the
lease.

.

(b)

Application

Section 22(i) of the Outer Continental
Shelf Lands Act, as added by the amendments made by subsection (a), shall apply
to approvals of applications for a permit to drill that are submitted after the
end of the 6-month period beginning on the date of enactment of this
Act.

Except as provided in
paragraph (2), any person who fails to comply with any provision of this Act,
or any term of a lease, license, or permit issued pursuant to this Act, or any
regulation or order issued under this Act, shall be liable for a civil
administrative penalty of not more than $75,000 for each day of the continuance
of such failure. The Secretary may assess, collect, and compromise any such
penalty. No penalty shall be assessed until the person charged with a violation
has been given an opportunity for a hearing. The Secretary shall, by regulation
at least every 3 years, adjust the penalty specified in this paragraph to
reflect any increases in the Consumer Price Index (all items, United States
city average) as prepared by the Department of Labor.

(2)

If a failure described in paragraph
(1) constitutes or constituted a threat of harm or damage to life (including
fish and other aquatic life), property, any mineral deposit, or the marine,
coastal, or human environment, a civil penalty of not more than $150,000 shall
be assessed for each day of the continuance of the
failure.

in subsection (c),
by striking and after the semicolon at the end of paragraph (5),
redesignating paragraph (6) as paragraph (11), and inserting after paragraph
(5) the following new paragraphs:

(6)

a detailed and
accurate description of equipment to be used for the drilling of wells pursuant
to activities included in the development and production plan,
including—

(A)

a description of
the drilling unit or units;

(B)

a statement of the
design and condition of major safety-related pieces of equipment, including
independent third-party certification of such equipment; and

(C)

a description of
any new technology to be used;

(7)

a scenario for the
potential blowout of each well to be drilled as part of the plan involving the
highest potential volume of liquid hydrocarbons, along with a complete
description of a response plan to both control the blowout and manage the
accompanying discharge of hydrocarbons, including the likelihood for surface
intervention to stop the blowout, the availability of a rig to drill a relief
well, an estimate of the time it would take to drill a relief well, a
description of other technology that may be used to regain control of the well
or capture escaping hydrocarbons and the potential timeline for using that
technology for its intended purpose, and the strategy, organization, and
resources necessary to avoid harm to the environment from hydrocarbons;

(8)

an analysis of the
potential impacts of the worst-case-scenario discharge on the marine and
coastal environments for activities conducted pursuant to the proposed
development and production plan;

(9)

a comprehensive
survey and characterization of the coastal or marine environment within the
area of operation, including bathymetry, currents and circulation patterns
within the water column, and descriptions of benthic and pelagic
environments;

(10)

a description of
the technologies to be deployed on the facilities to routinely observe and
monitor in real time the marine environment throughout the duration of
operations, and a description of the process by which such observation data and
information will be made available to Federal regulators and to the System
established under section 12304 of Public Law 111–11 (33 U.S.C. 3603);
and

;

(3)

in subsection (e),
by striking so much as precedes paragraph (2) and inserting the
following:

(e)(1)

The Secretary shall
treat the approval of a development and production plan, or a significant
revision of a development and production plan, as an agency action requiring
preparation of an environmental assessment or environmental impact statement,
in accordance with the National Environmental Policy Act of 1969 (42 U.S.C.
4321 et
seq.).

;

(4)

by striking
subsections (g) and (l), and redesignating subsections (h) through (k) as
subsections (g) through and (j); and

(5)

in subsection (g),
as so redesignated, by redesignating paragraphs (2) and (3) as paragraphs (3)
and (4), respectively, and inserting after paragraph (1) the following:

(2)

The Secretary
shall not approve a development and production plan, or a significant revision
to such a plan, unless—

(A)

the plan is in
compliance with all other applicable environmental and natural resource
conservation laws; and

(B)

the applicant has
available oil spill response and clean-up equipment and technology that has
been demonstrated to be capable of effectively remediating the projected
worst-case release of oil from activities conducted pursuant to the development
and production
plan.

striking the
period at the end of subparagraph (A) and inserting , provided that such
data shall be transmitted in electronic format either in real-time or as
quickly as practicable following the generation of such data.;
and

(2)

striking
subparagraph (C) and inserting the following:

(C)

Lessees engaged in
drilling operations shall provide to the Secretary—

(i)

all daily reports
generated by the lessee, or any daily reports generated by contractors or
subcontractors engaged in or supporting drilling operations on the lessee’s
lease, no more than 24 hours after the end of the day for which they should
have been generated;

(ii)

documentation of
blowout preventer maintenance and repair, and any changes to design
specifications of the blowout preventer, within 24 hours after such activity;
and

(iii)

prompt or
real-time transmission of the electronic log from a blowout preventer control
system.

.

217.

Limitation on
royalty-in-kind program

Section 27(a) of the Outer Continental Shelf
Lands Act (43 U.S.C. 1353(a)) is amended by striking the period at the end of
paragraph (1) and inserting , except that the Secretary shall not
conduct a regular program to take oil and gas lease royalties in oil or
gas..

by striking
Sec.
29 and all that follows through No
full-time and inserting the following:

29.

Restrictions on
employment

(a)

In
general

No
full-time

;
and

(B)

by striking
, and who was at any time during the twelve months preceding the
termination of his employment with the Department compensated under the
Executive Schedule or compensated at or above the annual rate of basic pay for
grade GS–16 of the General Schedule;

(2)

in paragraph
(1)—

(A)

in subparagraph
(A), by inserting or advise after
represent;

(B)

in subparagraph
(B), by striking with the intent to influence, make and
inserting act with the intent to influence, directly or indirectly, or
make; and

(C)

in the matter
following subparagraph (C)—

(i)

by
inserting inspection or enforcement action, before or
other particular matter; and

(ii)

by
striking or at the end;

(3)

in paragraph
(2)—

(A)

in subparagraph
(A), by inserting or advise after
represent;

(B)

in subparagraph
(B), by striking with the intent to influence, make and
inserting act with the intent to influence, directly or indirectly, or
make; and

(C)

by striking the
period at the end and inserting ; or; and

(4)

by adding at the
end the following:

(3)

during the 2-year period beginning on the
date on which the employment of the officer or employee ceased at the
Department, accept employment or compensation from any party that has a direct
and substantial interest—

(A)

that was pending
under the official responsibility of the officer or employee as an officer at
any point during the 2-year period preceding the date of termination of the
responsibility; or

(B)

in which the
officer or employee participated personally and substantially as an officer or
employee of the Department.

(b)

Prior
dealings

No full-time officer or employee of the Department of
the Interior who directly or indirectly discharged duties or responsibilities
under this Act shall participate personally and substantially as a Federal
officer or employee, through decision, approval, disapproval, recommendation,
the rendering of advice, investigation, or otherwise, in a proceeding,
application, request for a ruling or other determination, contract, claim,
controversy, charge, accusation, inspection, enforcement action, or other
particular matter in which, to the knowledge of the officer or employee—

(1)

the officer or
employee or the spouse, minor child, or general partner of the officer or
employee has a financial interest;

(2)

any organization
in which the officer or employee is serving as an officer, director, trustee,
general partner, or employee has a financial interest;

(3)

any person or
organization with whom the officer or employee is negotiating or has any
arrangement concerning prospective employment has a financial interest;
or

(4)

any person or
organization in which the officer or employee has, within the preceding 1-year
period, served as an officer, director, trustee, general partner, agent,
attorney, consultant, contractor, or employee.

(c)

Gifts from
outside sources

No full-time officer or employee of the
Department of the Interior who directly or indirectly discharges duties or
responsibilities under this Act shall, directly or indirectly, solicit or
accept any gift in violation of subpart B of part 2635 of title 5, Code of
Federal Regulations (or successor regulations).

(d)

Penalty

Any
person that violates subsection (a) or (b) shall be punished in accordance with
section 216 of title 18, United States
Code.

.

219.

Repeal of
royalty relief provisions

(a)

Repeal of
provisions of energy policy act of 2005

The following provisions
of the Energy Policy Act of 2005 (Public Law 109–58) are repealed:

(1)

Section 344 (42
U.S.C. 15904; relating to incentives for natural gas production from deep wells
in shallow waters of the Gulf of Mexico).

(2)

Section 345 (42
U.S.C. 15905; relating to royalty relief for deep water production in the Gulf
of Mexico).

(b)

Repeal of
provisions relating to planning areas offshore Alaska

Section
8(a)(3)(B) of the Outer Continental Shelf Lands Act (43 U.S.C. 1337(a)(3)(B))
is amended by striking and in the Planning Areas offshore
Alaska.

in subsection (a),
by striking shall issue regulations which and inserting
shall issue regulations that shall be supplemental to and complementary
with and under no circumstances a substitution for the provisions of the
Constitution and laws of the United States extended to the subsoil and seabed
of the outer Continental Shelf pursuant to section 4(a)(1) of this Act, except
insofar as such laws would otherwise apply to individuals who have
extraordinary ability in the sciences, arts, education, or business, which has
been demonstrated by sustained national or international acclaim, and
that; and

(2)

by adding at the
end the following:

(d)

Buy and build
American

It is the intention of the Congress that this Act, among
other things, result in a healthy and growing American industrial,
manufacturing, transportation, and service sector employing the vast talents of
America’s workforce to assist in the development of energy from the outer
Continental Shelf. Moreover, the Congress intends to monitor the deployment of
personnel and material on the outer Continental Shelf to encourage the
development of American technology and manufacturing to enable United States
workers to benefit from this Act by good jobs and careers, as well as the
establishment of important industrial facilities to support expanded access to
American
resources.

.

221.

Coordination
and consultation with affected state and local governments

by inserting
exploration plan or before development and production
plan in each place it appears; and

(2)

by amending
subsection (c) to read as follows:

(c)

Acceptance or
rejection of recommendations

The Secretary may accept
recommendations of the Governor and may accept recommendations of the executive
of any affected local government if the Secretary determines, after having
provided the opportunity for consultation, that they provide for a reasonable
balance between the national interest and the well-being of the citizens of the
affected State. For purposes of this subsection, a determination of the
national interest shall be based on the desirability of obtaining oil and gas
supplies in a balanced manner and on protecting coastal and marine ecosystems
and the economies dependent on those ecosystems. The Secretary shall provide an
explanation to the Governor, in writing, of the reasons for his determination
to accept or reject such Governor’s recommendations, or to implement any
alternative identified in consultation with the
Governor.

.

222.

Implementation

(a)

New
leases

The provisions of this title and title VII shall apply to
any lease that is issued under the Outer Continental Shelf Lands Act (43 U.S.C.
1331 et seq.) after the effective date of this Act.

(b)

Existing
leases

For all leases that were issued under the Outer
Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) that are in effect on the
effective date of this Act, the Secretary shall take action, consistent with
the terms of those leases, to apply the requirements of this title and title
VII to those leases. Such action may include, but is not limited to,
promulgating regulations, renegotiating such existing leases, conditioning
future leases on bringing such existing leases into full or partial compliance
with this title and title VII, or taking any other actions authorized by
law.

223.

Report on
environmental baseline studies

The Secretary of the Interior shall report
to Congress within 6 months after the date of enactment of this Act on the
costs of baseline environmental studies to gather, analyze, and characterize
resource data necessary to implement the Outer Continental Shelf Lands Act (43
U.S.C. 1331 et seq.). The Secretary shall include in the report proposals of
fees or other ways to recoup such costs from persons engaging or seeking to
engage in activities on the Outer Continental Shelf to which that Act
applies.

224.

Cumulative
impacts on marine mammal species and stocks and subsistence use

Section 20 of the Outer Continental Shelf
Lands Act (43 U.S.C. 1346) is further amended by adding at the end the
following:

(h)

Cumulative
impacts on marine mammal species and stocks and subsistence
use

In determining, pursuant to subparagraphs (A)(i) and (D)(i)
of section 101(a)(5) of the Marine Mammal Protection Act of 1972 (16 U.S.C.
1371(a)(5)), whether takings from specified activities administered under this
title will have a negligible impact on a marine mammal species or stock, and
not have an unmitigable adverse impact on the availability of such species or
stock for taking for subsistence uses, the Secretary of Commerce or Interior
shall incorporate any takings of such species or stock from any other
reasonably foreseeable activities administered under this
Act.

.

225.

Savings
clause

Nothing in this Act
shall be construed to preempt regulation by any State or local government of
oil and gas exploration and production wells drilled in State waters, on State
lands, or on private lands within that State pursuant to the laws of that State
or local government.

B

Royalty Relief for
American Consumers

231.

Short
title

This subtitle may be
cited as the Royalty Relief for
American Consumers Act of 2011 .

232.

Eligibility for
new leases and the transfer of leases

(a)

Issuance of New
Leases

(1)

In
general

The Secretary shall
not issue any new lease that authorizes the production of oil or natural gas
under the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.) to a
person described in paragraph (2) unless the person has renegotiated each
covered lease with respect to which the person is a lessee, to modify the
payment responsibilities of the person to require the payment of royalties if
the price of oil and natural gas is greater than or equal to the price
thresholds described in clauses (v) through (vii) of section 8(a)(3)(C) of the
Outer Continental Shelf Lands Act (43 U.S.C. 1337(a)(3)(C)).

(2)

Persons
described

A person referred to in paragraph (1) is a person
that—

(A)

is a lessee
that—

(i)

holds a covered
lease on the date on which the Secretary considers the issuance of the new
lease; or

(ii)

was
issued a covered lease before the date of enactment of this Act, but
transferred the covered lease to another person or entity (including a
subsidiary or affiliate of the lessee) after the date of enactment of this Act;
or

(B)

any other person
that has any direct or indirect interest in, or that derives any benefit from,
a covered lease.

(3)

Multiple
lessees

(A)

In
general

For purposes of paragraph (1), if there are multiple
lessees that own a share of a covered lease, the Secretary may implement
separate agreements with any lessee with a share of the covered lease that
modifies the payment responsibilities with respect to the share of the lessee
to include price thresholds that are equal to or less than the price thresholds
described in clauses (v) through (vii) of section 8(a)(3)(C) of the Outer
Continental Shelf Lands Act (43 U.S.C. 1337(a)(3)(C)).

(B)

Treatment of
share as covered lease

Beginning on the effective date of an
agreement under subparagraph (A), any share subject to the agreement shall not
constitute a covered lease with respect to any lessees that entered into the
agreement.

(b)

Transfers

A
lessee or any other person who has any direct or indirect interest in, or who
derives a benefit from, a lease shall not be eligible to obtain by sale or
other transfer (including through a swap, spinoff, servicing, or other
agreement) any covered lease, the economic benefit of any covered lease, or any
other lease for the production of oil or natural gas in the Gulf of Mexico
under the Outer Continental Shelf Lands Act (43 U.S.C. 1331 et seq.), unless
the lessee or other person has—

(1)

renegotiated each
covered lease with respect to which the lessee or person is a lessee, to modify
the payment responsibilities of the lessee or person to include price
thresholds that are equal to or less than the price thresholds described in
clauses (v) through (vii) of section 8(a)(3)(C) of the Outer Continental Shelf
Lands Act (43 U.S.C. 1337(a)(3)(C)); or

(2)

entered into an agreement with the
Secretary to modify the terms of all covered leases of the lessee or other
person to include limitations on royalty relief based on market prices that are
equal to or less than the price thresholds described in clauses (v) through
(vii) of section 8(a)(3)(C) of the Outer Continental Shelf Lands Act (43 U.S.C.
1337(a)(3)(C)).

(c)

Use of amounts
for deficit reduction

Notwithstanding any other provision of law,
any amounts received by the United States as rentals or royalties under covered
leases and not used pursuant to section 321 shall be deposited in the Treasury
and used for Federal budget deficit reduction or, if there is no Federal budget
deficit, for reducing the Federal debt in such manner as the Secretary of the
Treasury considers appropriate.

(d)

Definitions

In this section—

(1)

Covered
lease

The term covered lease means a lease for oil
or gas production in the Gulf of Mexico that is—

(A)

in existence on
the date of enactment of this Act;

(B)

issued by the
Department of the Interior under section 304 of the Outer Continental Shelf
Deep Water Royalty Relief Act (43 U.S.C. 1337 note; Public Law 104–58);
and

(C)

not subject to
limitations on royalty relief based on market price that are equal to or less
than the price thresholds described in clauses (v) through (vii) of section
8(a)(3)(C) of the Outer Continental Shelf Lands Act (43 U.S.C.
1337(a)(3)(C)).

(2)

Lessee

The
term lessee includes any person or other entity that controls,
is controlled by, or is in or under common control with, a lessee.

(3)

Secretary

The
term Secretary means the Secretary of the Interior.

233.

Price
thresholds for royalty suspension provisions

The Secretary of the Interior shall agree to
a request by any lessee to amend any lease issued for any Central and Western
Gulf of Mexico tract in the period of January 1, 1996, through November 28,
2000, to incorporate price thresholds applicable to royalty suspension
provisions, that are equal to or less than the price thresholds described in
clauses (v) through (vii) of section 8(a)(3)(C) of the Outer Continental Shelf
Lands Act (43 U.S.C. 1337(a)(3)(C)). Any amended lease shall impose the new or
revised price thresholds effective October 1, 2010. Existing lease provisions
shall prevail through September 30, 2010.

in paragraph (8),
by striking the semicolon and inserting including but not limited to the
Act of October 20, 1914 (38 Stat. 741); the Act of February 25, 1920 (41 Stat.
437); the Act of April 17, 1926 (44 Stat. 301); the Act of February 7, 1927 (44
Stat. 1057); and all Acts heretofore or hereafter enacted that are amendatory
of or supplementary to any of the foregoing Acts;;

(2)

in paragraph
(20)(A), by striking : Provided, That and all
that follows through subject of the judicial proceeding;

(3)

in paragraph
(20)(B), by striking (with written notice to the lessee who designated
the designee);

(4)

in paragraph
(23)(A), by striking (with written notice to the lessee who designated
the designee);

(5)

by striking
paragraph (24) and inserting the following:

(24)

designee
means a person who pays, offsets, or credits monies, makes adjustments,
requests and receives refunds, or submits reports with respect to payments a
lessee must make pursuant to section
102(a);

;

(6)

in paragraph
(25)(B)—

(A)

by striking
(subject to the provisions of section 102(a) of this Act);
and

(B)

in clause (ii) by
striking the matter after subclause (IV) and inserting the following:

that
arises from or relates to any lease, easement, right-of-way, permit, or other
agreement regardless of form administered by the Secretary for, or any mineral
leasing law related to, the exploration, production, and development of oil and
gas or other energy resource on Federal lands or the Outer Continental
Shelf;

;

(7)

in paragraph (29),
by inserting or permit after lease; and

(8)

by striking
and after the semicolon at the end of paragraph (32), by
striking the period at the end of paragraph (33) and inserting a semicolon, and
by adding at the end the following new paragraphs:

(34)

compliance
review means a full-scope or a limited-scope examination of a lessee’s
lease accounts to compare one or all elements of the royalty equation (volume,
value, royalty rate, and allowances) against anticipated elements of the
royalty equation to test for variances; and

(35)

marketing
affiliate means an affiliate of a lessee whose function is to acquire
the lessee’s production and to market that
production.

.

302.

Compliance
reviews

Section 101 of the
Federal Oil and Gas Royalty Management Act of 1982 (30 U.S.C. 1711) is amended
by adding at the end the following new subsection:

(d)

The Secretary may,
as an adjunct to audits of accounts for leases, utilize compliance reviews of
accounts. Such reviews shall not constitute nor substitute for audits of lease
accounts. Any disparity uncovered in such a compliance review shall be
immediately referred to a program auditor. The Secretary shall, before
completion of a compliance review, provide notice of the review to designees
whose obligations are the subject of the
review.

.

303.

Clarification
of liability for royalty payments

Section 102(a) of the Federal Oil and Gas
Royalty Management Act of 1982 (30 U.S.C. 1712(a)) is amended to read as
follows:

(a)

In order to
increase receipts and achieve effective collections of royalty and other
payments, a lessee who is required to make any royalty or other payment under a
lease, easement, right-of-way, permit, or other agreement, regardless of form,
or under the mineral leasing laws, shall make such payment in the time and
manner as may be specified by the Secretary or the applicable delegated State.
Any person who pays, offsets, or credits monies, makes adjustments, requests
and receives refunds, or submits reports with respect to payments the lessee
must make is the lessee’s designee under this Act. Notwithstanding any other
provision of this Act to the contrary, a designee shall be liable for any
payment obligation of any lessee on whose behalf the designee pays royalty
under the lease. The person owning operating rights in a lease and a person
owning legal record title in a lease shall be liable for that person’s pro rata
share of payment obligations under the
lease.

in subsection (a)
in the matter following paragraph (2), by striking $500 and
inserting $1,000;

(2)

in subsection
(a)(2)(B), by inserting (i) after such person,
and by striking the period at the end and inserting ; and (ii) has not
received notice, pursuant to paragraph (1), of more than two prior violations
in the current calendar year.;

(3)

in subsection (b),
by striking $5,000 and inserting $10,000;

(4)

in subsection
(c)—

(A)

in paragraph (2),
by striking ; or and inserting , including any failure or
refusal to promptly tender requested documents;;

(B)

in the text
following paragraph (3)—

(i)

by
striking $10,000 and inserting $20,000;
and

(ii)

by
striking the comma at the end and inserting a semicolon; and

(C)

by adding at the
end the following new paragraphs:

(4)

knowingly or
willfully fails to make any royalty payment in the amount or value as specified
by statute, regulation, order, or terms of the lease; or

(5)

fails to correctly
report and timely provide operations or financial records necessary for the
Secretary or any authorized designee of the Secretary to accomplish lease
management
responsibilities,

;

(5)

in subsection (d),
by striking $25,000 and inserting $50,000;

(6)

in subsection (h),
by striking by registered mail and inserting a common
carrier that provides proof of delivery; and

(7)

by adding at the
end the following subsection:

(m)(1)

Any determination by the
Secretary or a designee of the Secretary that a person has committed a
violation under subsection (a), (c), or (d)(1) shall toll any applicable
statute of limitations for all oil and gas leases held or operated by such
person, until the later of—

(A)

the date on which the person corrects
the violation and certifies that all violations of a like nature have been
corrected for all of the oil and gas leases held or operated by such person;
or

(B)

the date a final, nonappealable order
has been issued by the Secretary or a court of competent jurisdiction.

(2)

A person determined by the Secretary
or a designee of the Secretary to have violated subsection (a), (c), or (d)(1)
shall maintain all records with respect to the person’s oil and gas leases
until the later of—

(A)

the date the Secretary releases the
person from the obligation to maintain such records; and

(B)

the expiration of the period during
which the records must be maintained under section
103(b).

Interest shall not
be allowed nor paid nor credited on any overpayment, and no interest shall
accrue from the date such overpayment was made.

(i)

A lessee or its designee may make a payment
for the approximate amount of royalties (hereinafter in this subsection
referred to as the estimated payment) that would otherwise be
due for such lease by the date royalties are due for that lease. When an
estimated payment is made, actual royalties are payable at the end of the month
following the month in which the estimated payment is made. If the estimated
payment was less than the amount of actual royalties due, interest is owed on
the underpaid amount. If the lessee or its designee makes a payment for such
actual royalties, the lessee or its designee may apply the estimated payment to
future royalties. Any estimated payment may be adjusted, recouped, or
reinstated by the lessee or its designee provided such adjustment, recoupment,
or reinstatement is made within the limitation period for which the date
royalties were due for that
lease.

in subsection
(a)(3), by inserting (A) after (3), and by
striking the last sentence and inserting the following:

(B)

Except as provided
in subparagraph (C), no adjustment may be made with respect to an obligation
that is the subject of an audit or compliance review after completion of the
audit or compliance review, respectively, unless such adjustment is approved by
the Secretary or the applicable delegated State, as appropriate.

(C)

If an overpayment
is identified during an audit, the Secretary shall allow a credit in the amount
of the
overpayment.

;

(2)

in subsection
(a)(4)—

(A)

by striking
six and inserting four; and

(B)

by striking
shall the second place it appears and inserting
may; and

(3)

in subsection
(b)(1) by striking and after the semicolon at the end of
subparagraph (C), by striking the period at the end of subparagraph (D) and
inserting ; and, and by adding at the end the following:

(E)

is made within the
adjustment period for that
obligation.

.

308.

Conforming
amendment

Section 114 of the
Federal Oil and Gas Royalty Management Act of 1982 is repealed.

309.

Obligation
period

Section 115(c) of the
Federal Oil and Gas Royalty Management Act of 1982 (30 U.S.C. 1724(c)) is
amended by adding at the end the following new paragraph:

(3)

Adjustments

In
the case of an adjustment under section 111A(a) in which a recoupment by the
lessee results in an underpayment of an obligation, for purposes of this Act
the obligation becomes due on the date the lessee or its designee makes the
adjustment.

.

310.

Notice
regarding tolling agreements and subpoenas

(a)

Tolling
agreements

Section 115(d)(1) of the Federal Oil and Gas Royalty
Management Act of 1982 (30 U.S.C. 1724(d)(1)) is amended by striking
(with notice to the lessee who designated the designee).

(b)

Subpoenas

Section
115(d)(2)(A) of the Federal Oil and Gas Royalty Management Act of 1982 (30
U.S.C. 1724(d)(2)(A)) is amended by striking (with notice to the lessee
who designated the designee, which notice shall not constitute a subpoena to
the lessee).

311.

Appeals and
final agency action

Paragraphs
(1) and (2) of section 115(h) the Federal Oil and Gas Royalty Management Act of
1982 (30 U.S.C. 1724(h)) are amended by striking 33 each place
it appears and inserting 48.

Within 2 years after the date of enactment of this Act,
the Secretary shall complete a pilot project with willing operators of oil and
gas leases on the Outer Continental Shelf that assesses the costs and benefits
of automatic transmission of oil and gas volume and quality data produced under
Federal leases on the Outer Continental Shelf in order to improve the
production verification systems used to ensure accurate royalty collection and
audit.

(b)

Report

The
Secretary shall submit to Congress a report on findings and recommendations of
the pilot project within 3 years after the date of enactment of this
Act.

314.

Natural gas
reporting

The Secretary shall,
within 180 days after the date of enactment of this Act, implement the steps
necessary to ensure accurate determination and reporting of BTU values of
natural gas from all Federal oil and gas leases to ensure accurate royalty
payments to the United States. Such steps shall include, but not be limited
to—

(1)

establishment of
consistent guidelines for onshore and offshore BTU information from gas
producers;

(2)

development of a
procedure to determine the potential BTU variability of produced natural gas on
a by-reservoir or by-lease basis;

(3)

development of a
procedure to adjust BTU frequency requirements for sampling and reporting on a
case-by-case basis;

(4)

systematic and
regular verification of BTU information; and

(5)

revision of the
MMS–2014 reporting form to record, in addition to other
information already required, the natural gas BTU values that form the basis
for the required royalty payments.

315.

Penalty for
late or incorrect reporting of data

(a)

In
general

The Secretary shall issue regulations by not later than 1
year after the date of enactment of this Act that establish a civil penalty for
late or incorrect reporting of data under the Federal Oil and Gas Royalty
Management Act of 1982 (30 U.S.C. 1701 et seq.).

(b)

Amount

The
amount of the civil penalty shall be—

(1)

an amount (subject
to paragraph (2)) that the Secretary determines is sufficient to ensure filing
of data in accordance with that Act; and

(2)

not less than $10
for each failure to file correct data in accordance with that Act.

(c)

Content of
regulations

Except as provided in subsection (b), the regulations
issued under this section shall be substantially similar to part 216.40 of
title 30, Code of Federal Regulations, as most recently in effect before the
date of enactment of this Act.

316.

Required
recordkeeping

Within 1 year
after the date of enactment of this Act, the Secretary shall publish final
regulations concerning required recordkeeping of natural gas measurement data
as set forth in part 250.1203 of title 30, Code of Federal Regulations (as in
effect on the date of enactment of this Act), to include operators and other
persons involved in the transporting, purchasing, or selling of gas under the
requirements of that rule, under the authority provided in section 103 of the
Federal Oil and Gas Royalty Management Act of 1982 (30 U.S.C. 1713).

317.

Shared civil
penalties

Section 206 of the
Federal Oil and Gas Royalty Management Act of 1982 (30 U.S.C. 1736) is amended
by striking Such amount shall be deducted from any compensation due such
State or Indian tribe under section 202 or such State under section
205..

318.

Entitlements

Not later than 180 days after the date of
enactment of this Act, the Secretary shall publish final regulations
prescribing when a Federal lessee or designee must report and pay royalties on
the volume of oil and gas it takes under either a Federal or Indian lease or on
the volume to which it is entitled to based upon its ownership interest in the
Federal or Indian lease. The Secretary shall give consideration to requiring
100 percent entitlement reporting and paying based upon the lease
ownership.

319.

Limitation on
royalty in-kind program

Section 36 of the Mineral Leasing Act (30
U.S.C. 192) is amended by inserting before the period at the end of the first
sentence the following: , except that the Secretary shall not conduct a
regular program to take oil and gas lease royalties in oil or
gas.

320.

Application of
royalty to oil that is saved, removed, sold, or discharged under offshore oil
and gas leases

Section 8(a) of
the Outer Continental Shelf Lands Act (43 U.S.C. 1337(a)) is further amended by
adding at the end the following new paragraph:

(10)(A)

Any royalty under a
lease under this section shall apply to all oil that is saved, removed, sold,
or discharged, without regard to whether any of the oil is unavoidably lost or
used on, or for the benefit of, the lease.

(B)

In this paragraph the term
discharged means any emission (other than natural seepage),
intentional or unintentional, and includes, but is not limited to, spilling,
leaking, pumping, pouring, emitting, emptying, or
dumping.

.

321.

Disposition of
revenue

(a)

Use for safety,
inspection, and enforcement

Of the amounts received by the United
States under subtitle B of title II and this title—

(1)

there shall be
available to the Secretary, the Administrator of the National Ocean and
Atmospheric Administration, and the Commandant of the Coast Guard, without
further appropriation, such sums as may be necessary to carry out any duties or
responsibilities related to safety, inspection, and enforcement authorities
provided this Act; and

(2)

there shall be available, without further
appropriation, $48,000,000 for each of the fiscal years 2012 through 2016 to
carry out the functions described in section 634.

(b)

Use of Amounts
for Deficit Reduction

Notwithstanding any other provision of law,
any amounts received by the United States under this title that are not used in
a given calendar year shall be deposited in the Treasury and used for Federal
budget deficit reduction or, if there is no Federal budget deficit, for
reducing the Federal debt in such manner as the Secretary of the Treasury
considers appropriate.

IV

Gulf
of Mexico Restoration

401.

Short
title

This title may be cited
as the Gulf Coast Restoration
Act.

402.

Gulf coast
ecosystem restoration

(a)

Definitions

In
this section:

(1)

Chair

The
term Chair means the Chair of the Task Force appointed under
subsection (d)(3).

(2)

State coastal
ecosystem restoration plan

The term State Coastal
Ecosystem Restoration Plan means a plan submitted under subsection (c)
by a qualifying State to the Task Force.

(3)

Fund

The
term Fund means the Gulf Coast Ecosystem Restoration Fund
established by subsection (b)(2)(A).

(4)

Governors

The
term Governors means the Governors of each of the States of
Alabama, Florida, Louisiana, Mississippi, and Texas.

(5)

Gulf coast
ecosystem

The term Gulf Coast ecosystem means the
coastal zones, as determined pursuant to the Coastal Zone Management Act of
1972 (16 U.S.C. 1451 et seq.), of the States of Alabama, Florida, Louisiana,
Mississippi, and Texas and adjacent State waters and areas of the Outer
Continental Shelf, adversely impacted by the blowout and explosion of the
mobile offshore drilling unit Deepwater Horizon that occurred on April 20,
2010, and resulting hydrocarbon releases into the environment.

(6)

Secretary

The
term Secretary means the Secretary of the Interior.

(7)

Qualifying
state

The term qualifying State means each of the
States of Alabama, Florida, Louisiana, Mississippi, and Texas.

(8)

Task
force

The term Task Force means the Gulf Coast
Ecosystem Restoration Task Force established by subsection (d).

(b)

Gulf coast
ecosystem restoration

(1)

In
general

In accordance with this section, the Chair shall review
and approve or disapprove State Coastal Ecosystem Restoration Plans submitted
by the Governors that provide for restoration activities with respect to the
Gulf Coast ecosystem.

(2)

Gulf coast
ecosystem restoration fund

(A)

Establishment

There
is established in the Treasury of the United States a fund to be known as the
Gulf Coast Ecosystem Restoration Fund.

(B)

Transfers to
fund

Notwithstanding any other provision of law, the Secretary of
the Treasury shall deposit into the Fund amounts equal to not less than 80
percent of any amounts collected by the United States as penalties,
settlements, or fines under sections 309 and 311 of the Federal Water Pollution
Control Act (33 U.S.C. 1319, 1321) in relation to the blowout and explosion of
the mobile offshore drilling unit Deepwater Horizon that occurred on April 20,
2010, and resulting hydrocarbon releases into the environment.

(C)

Authorized
uses

The Fund shall be available to the Chair for the
conservation, protection, and restoration of the Gulf Coast ecosystem in
accordance with State Coastal Ecosystem Restoration Plans submitted by the
Governors and approved by the Chair under this section.

(3)

Disbursement

The
Chair shall disburse to each qualifying State for which the Chair has approved
a State Coastal Ecosystem Restoration Plan under this section such funds as are
allocated to the qualifying State under this section.

(4)

Use of funds by
qualifying state

A qualifying State shall use all amounts
received under this section, including any amount deposited in a trust fund
that is administered by the State and dedicated to uses consistent with this
section, in accordance with all applicable Federal and State law, only for 1 or
more of the following purposes:

(A)

Projects and
activities for the conservation, protection, or restoration of coastal areas,
including wetlands.

(B)

Mitigation of
damage to fish, wildlife, or natural resources.

(C)

Planning
assistance and the administrative costs of complying with this section.

coordinate
scientific and other research associated with restoration of the Gulf Coast
ecosystem; and

(C)

submit an annual
report to Congress that summarizes the State Coastal Ecosystem Restoration
Plans submitted by the Governors and approved by the Chair.

(5)

Application of
the federal advisory committee act

The Task Force shall not be
considered an advisory committee under the Federal Advisory Committee Act (5
U.S.C. App.).

V

Coordination and
planning

501.

Regional
coordination

(a)

In
general

The purpose of this title is to promote—

(1)

better
coordination, communication, and collaboration between Federal agencies with
authorities for ocean, coastal, and Great Lakes management; and

(2)

coordinated and
collaborative regional planning efforts using the best available science, and
to ensure the protection and maintenance of marine ecosystem health, in
decisions affecting the sustainable development and use of Federal renewable
and nonrenewable resources on, in, or above the ocean (including the Outer
Continental Shelf) and the Great Lakes for the long-term economic and
environmental benefit of the United States.

(b)

Objectives of
regional efforts

Such regional efforts shall achieve the
following objectives:

(1)

Greater systematic
communication and coordination among Federal, coastal State, and affected
tribal governments concerned with the conservation of and the sustainable
development and use of Federal renewable and nonrenewable resources of the
oceans, coasts, and Great Lakes.

(2)

Greater reliance
on a multiobjective, science- and ecosystem-based, spatially explicit
management approach that integrates regional economic, ecological, affected
tribal, and social objectives into ocean, coastal, and Great Lakes management
decisions.

(3)

Identification and
prioritization of shared State and Federal ocean, coastal, and Great Lakes
management issues.

(4)

Identification of
data and information needed by the Regional Coordination Councils established
under section 602.

(c)

Regions

There
are hereby designated the following Coordination Regions:

(1)

Pacific
region

The Pacific
Coordination Region, which shall consist of the coastal waters and Exclusive
Economic Zone adjacent to the States of Washington, Oregon, and
California.

(2)

Gulf of Mexico
region

The Gulf of Mexico
Coordination Region, which shall consist of the coastal waters and Exclusive
Economic Zone adjacent to the States of Texas, Louisiana, Mississippi, and
Alabama, and the west coast of Florida.

(3)

North Atlantic
region

The North Atlantic
Coordination Region, which shall consist of the coastal waters and Exclusive
Economic Zone adjacent to the States of Maine, New Hampshire, Massachusetts,
Rhode Island, and Connecticut.

(4)

Mid-Atlantic
region

The Mid-Atlantic
Coordination Region, which shall consist of the coastal waters and Exclusive
Economic Zone adjacent to the States of New York, New Jersey, Pennsylvania,
Delaware, Maryland, and Virginia.

(5)

South Atlantic
region

The South Atlantic
Coordination Region, which shall consist of the coastal waters and Exclusive
Economic Zone adjacent to the States of North Carolina, South Carolina,
Georgia, the east coast of Florida, and the Straits of Florida Planning
Area.

(6)

Alaska
region

The Alaska
Coordination Region, which shall consist of the coastal waters and Exclusive
Economic Zone adjacent to the State of Alaska.

(7)

Pacific Islands
region

The Pacific Islands
Coordination Region, which shall consist of the coastal waters and Exclusive
Economic Zone adjacent to the State of Hawaii, the Commonwealth of the Northern
Mariana Islands, American Samoa, and Guam.

(8)

Caribbean
region

The Caribbean
Coordination Region, which shall consist of the coastal waters and Exclusive
Economic Zone adjacent to Puerto Rico and the United States Virgin
Islands.

(9)

Great Lakes
Region

The Great Lakes
Coordination Region, which shall consist of waters of the Great Lakes in the
States of Illinois, Indiana, Michigan, Minnesota, New York, Ohio, Pennsylvania,
and Wisconsin.

502.

Regional
Coordination Councils

(a)

In
general

Within 180 days after the date of enactment of this Act,
the Chairman of the Council on Environmental Quality, in consultation with the
affected coastal States and affected Indian tribes, shall establish or
designate a Regional Coordination Council for each of the Coordination Regions
designated by section 601(c).

(b)

Membership

(1)

Federal
representatives

Within 90 days after the date of enactment of
this Act, the Chairman of the Council on Environmental Quality shall publish
the titles of the officials of each Federal agency and department that shall
participate in each Council. The Councils shall include representatives of each
Federal agency and department that has authorities related to the development
of ocean, coastal, or Great Lakes policies or engages in planning, management,
or scientific activities that significantly affect or inform the use of ocean,
coastal, or Great Lakes resources. The Chairman of the Council on Environmental
Quality shall determine which Federal agency representative shall serve as the
chairperson of each Council.

(2)

Coastal State
representatives

(A)

Notice of intent
to participate

The Governor of each coastal State within each
Coordination Region designated by section 601(c) shall within 3 months after
the date of enactment of this Act, inform the Chairman of the Council on
Environmental Quality whether or not the State intends to participate in the
Regional Coordination Council for the Region.

(B)

Appointment of
responsible State official

If a coastal State intends to
participate in such Council, the Governor of the coastal State shall appoint an
officer or employee of the coastal State agency with primary responsibility for
overseeing ocean and coastal policy or resource management to that
Council.

(C)

Alaska Regional
Coordination Council

The
Regional Coordination Council for the Alaska Coordination Region shall include
representation from each of the States of Alaska, Washington, and Oregon, if
appointed by the Governor of that State in accordance with this
paragraph.

(3)

Regional Fishery
Management Council representation

A representative of each
Regional Fishery Management Council with jurisdiction in the Coordination
Region of a Regional Coordination Council (who is selected by the Regional
Fishery Management Council) and the executive director of the interstate marine
fisheries commission with jurisdiction in the Coordination Region of a Regional
Coordination Council shall each serve as a member of the Council.

(4)

Regional Ocean
Partnership representation

A representative of any Regional Ocean
Partnership that has been established for any part of the Coordination Region
of a Regional Coordination Council may appoint a representative to serve on the
Council in addition to any Federal or State appointments.

(5)

Tribal
representation

An appropriate
tribal official selected by affected Indian tribes situated in the affected
Coordination Region may elect to appoint a representative of such tribes
collectively to serve as a member of the Regional Coordination Council for that
Region.

(6)

Local
representation

The Chairman
of the Council on Environmental Quality shall, in consultation with the
Governors of the coastal States within each Coordination Region, identify and
appoint representatives of county and local governments, as appropriate, to
serve as members of the Regional Coordination Council for that Region.

(c)

Advisory
committee

Each Regional
Coordination Council shall establish advisory committees for the purposes of
public and stakeholder input and scientific advice, made up of a balanced
representation from the energy, shipping, transportation, commercial and
recreational fishing, and recreation industries, from marine environmental
nongovernmental organizations, and from scientific and educational authorities
with expertise in the conservation and management of ocean, coastal, and Great
Lakes resources to advise the Council during the development of Regional
Assessments and Regional Strategic Plans and in its other activities.

(d)

Coordination
with existing programs

Each Regional Coordination Council shall
build upon and complement current State, multistate, and regional capacity and
governance and institutional mechanisms to manage and protect ocean waters,
coastal waters, and ocean resources.

503.

Regional
strategic plans

(a)

Initial regional
assessment

(1)

In
general

Each Regional
Coordination Council, shall, within one year after the date of enactment of
this Act, prepare an initial assessment of its Coordination Region that shall
identify deficiencies in data and information necessary to informed
decisionmaking by Federal, State, and affected tribal governments concerned
with the conservation of and management of the oceans, coasts, and Great Lakes.
Each initial assessment shall to the extent feasible—

(A)

identify the Coordination Region’s
renewable and non renewable resources, including current and potential energy
resources, except for the assessment for the Great Lakes Coordination Region,
for which the Regional Coordination Council for such Coordination Region shall
only identify the Great Lakes Coordination Region’s renewable energy resources,
including current and potential renewable energy resources;

(B)

identify and
include a spatially and temporally explicit inventory of existing and potential
uses of the Coordination Region, including fishing and fish habitat,
recreation, and energy development;

(C)

document the
health and relative environmental sensitivity of the marine ecosystem within
the Coordination Region, including a comprehensive survey and status assessment
of species, habitats, and indicators of ecosystem health;

(D)

identify marine
habitat types and important ecological areas within the Coordination
Region;

identify and
prioritize additional scientific and economic data necessary to inform the
development of Strategic Plans; and

(G)

include other information to improve
decision making as determined by the Regional Coordination Council.

(2)

Data

Each
initial assessment shall—

(A)

use the best
available data;

(B)

collect and
provide data in a spatially explicit manner wherever practicable and provide
such data to the interagency comprehensive digital mapping initiative as
described in section 2 of Public Law 109–58 (42 U.S.C. 15801); and

(C)

make publicly
available any such data that is not classified information.

(3)

Public
participation

Each Regional Coordination Council shall provide
adequate opportunity for review and input by stakeholders and the general
public during the preparation of the initial assessment and any revised
assessments.

(b)

Regional
Strategic Plans

(1)

Requirement

Each
Regional Coordination Council shall, within 3 years after the completion of the
initial regional assessment, prepare and submit to the Chairman of the Council
on Environmental Quality a multiobjective, science- and ecosystem-based,
spatially explicit, integrated Strategic Plan in accordance with this
subsection for the Council’s Coordination Region.

(2)

objective and
goals

The objective of the
Strategic Plans under this subsection shall be to foster comprehensive,
integrated, and sustainable development and use of ocean, coastal, and Great
Lakes resources, while protecting marine ecosystem health and sustaining the
long-term economic and ecosystem values of the oceans, coasts, and Great
Lakes.

(3)

Contents

Each
Strategic Plan prepared by a Regional Coordination Council shall—

(A)

be based on the
initial regional assessment and updates for the Coordination Region under
subsections (a) and (c), respectively;

(B)

foster the
sustainable and integrated development and use of ocean, coastal, and Great
Lakes resources in a manner that protects the health of marine
ecosystems;

(C)

identify areas with potential for siting
and developing renewable and nonrenewable energy resources in the Coordination
Region covered by the Strategic Plan, except for the Strategic Plan for the
Great Lakes Coordination Region which shall identify only areas with potential
for siting and developing renewable energy resources in the Great Lakes
Coordination Region;

(D)

identify other
current and potential uses of the ocean and coastal resources in the
Coordination Region;

(E)

identify and
recommend long-term monitoring needs for ecosystem health and socioeconomic
variables within the Coordination Region covered by the Strategic Plan;

(F)

identify existing State and Federal
regulating authorities within the Coordination Region covered by the Strategic
Plan and measures to assist those authorities in carrying out their
responsibilities;

(G)

identify best
available technologies to minimize adverse environmental impacts and use
conflicts in the development of ocean and coastal resources in the Coordination
Region;

(H)

identify
additional research, information, and data needed to carry out the Strategic
Plan;

(I)

identify performance measures and
benchmarks for purposes of fulfilling the responsibilities under this section
to be used to evaluate the Strategic Plan’s effectiveness;

(J)

define
responsibilities and include an analysis of the gaps in authority,
coordination, and resources, including funding, that must be filled in order to
fully achieve those performance measures and benchmarks; and

(K)

include such other
information at the Chairman of the Council on Environmental Quality determines
is appropriate.

(4)

Public
participation

Each Regional Coordination Council shall provide
adequate opportunities for review and input by stakeholders and the general
public during the development of the Strategic Plan and any Strategic Plan
revisions.

(c)

Updated regional
assessments

Each Regional Coordination Council shall update the
initial regional assessment prepared under subsection (a) in coordination with
each Strategic Plan revision under subsection (e), to provide more detailed
information regarding the required elements of the assessment and to include
any relevant new information that has become available in the interim.

(d)

Review and
approval

(1)

Commencement of
review

Within 10 days after
receipt of a Strategic Plan under this section, or any revision to such a
Strategic Plan, from a Regional Coordination Council, the Chairman of the
Council of Environmental Quality shall commence a review of the Strategic Plan
or the revised Strategic Plan, respectively.

(2)

Public notice
and comment

Immediately after receipt of such a Strategic Plan or
revision, the Chairman of the Council of Environmental Quality shall publish
the Strategic Plan or revision in the Federal Register and provide an
opportunity for the submission of public comment for a 90-day period beginning
on the date of such publication.

(3)

Requirements for
approval

Before approving a Strategic Plan, or any revision to a
Strategic Plan, the Chairman of the Council on Environmental Quality must find
that the Strategic Plan or revision—

(A)

complies with
subsection (b); and

(B)

complies with the
purposes of this title as identified in section 601(a) and the objectives
identified in section 601(b).

(4)

Deadline for
completion

Within 180 days
after the receipt of a Strategic Plan, or a revision to a Strategic Plan, the
Chairman of the Council of Environmental Quality shall approve or disapprove
the Strategic Plan or revision. If the Chairman disapproves the Strategic Plan
or revision, the Chairman shall transmit to the Regional Coordination Council
that submitted the Strategic Plan or revision, an identification of the
deficiencies and recommendations to improve it. The Council shall submit a
revised Strategic Plan or revision to such plan with 180 days after receiving
the recommendations from the Chairman.

(e)

Plan
revision

Each Strategic Plan
shall be reviewed and revised by the relevant Regional Coordination Council at
least once every 5 years. Such review and revision shall be based on the most
recently updated regional assessment. Any proposed revisions to the Strategic
Plan shall be submitted to the Chairman of the Council on Environmental Quality
for review and approval pursuant to this section.

504.

Regulations and
savings clause

(a)

Regulations

The Chairman of the Council on
Environmental Quality may issue such regulations as the Chairman considers
necessary to implement sections 601 through 603.

(b)

Savings
clause

Nothing in this title
shall be construed to affect existing authorities under Federal law.

505.

Ocean Resources
Conservation and Assistance Fund

(a)

Establishment

(1)

In
general

There is established in the Treasury of the United States
a separate account to be known as the Ocean Resources Conservation and
Assistance Fund.

(2)

Credits

The ORCA Fund shall be credited with such
sums as may be necessary.

(3)

Allocation of
the ORCA Fund

Of the amounts appropriated from the ORCA Fund each
fiscal year—

(A)

70 percent shall
be allocated to the Secretary, of which—

(i)

one-half shall be
used to make grants to coastal States and affected Indian tribes under
subsection (b); and

(ii)

one-half shall be
used for the ocean, coastal, and Great Lakes grants program established by
subsection (c);

(B)

20 percent shall
be allocated to the Secretary to carry out the purposes of subsection (e);
and

(C)

10 percent shall be allocated to the
Secretary to make grants to Regional Ocean Partnerships under subsection (d)
and the Regional Coordination Councils established under section 602.

(4)

Procedures

The
Secretary shall establish application, review, oversight, financial
accountability, and performance accountability procedures for each grant
program for which funds are allocated under this subsection.

(b)

Grants to
coastal states

(1)

Grant
authority

The Secretary may use amounts allocated under
subsection (a)(3)(A)(i)(I) to make grants to—

(A)

coastal States
pursuant to the formula established under section 306(c) of the Coastal Zone
Management Act of 1972 (16 U.S.C. 1455(c)); and

(B)

affected Indian
tribes based on and proportional to any specific coastal and ocean management
authority granted to an affected tribe pursuant to affirmation of a Federal
reserved right.

(2)

Eligibility

To
be eligible to receive a grant under this subsection, a coastal State or
affected Indian tribe must prepare and revise a 5-year plan and annual work
plans that—

(A)

demonstrate that
activities for which the coastal State or affected Indian tribe will use the
funds are consistent with the eligible uses of the Fund described in subsection
(f); and

(B)

provide mechanisms
to ensure that funding is made available to government, nongovernment, and
academic entities to carry out eligible activities at the county and local
level.

(3)

Approval of
State and affected tribal plans

(A)

In
general

Plans required under paragraph (2) must be submitted to
and approved by the Secretary.

(B)

Public input and
comment

In determining whether to approve such plans, the
Secretary shall provide opportunity for, and take into consideration, public
input and comment on the plans from stakeholders and the general public.

(4)

Energy planning
grants

For each of the fiscal years 2011 through 2015, the
Secretary may use funds allocated for grants under this subsection to make
grants to coastal States and affected tribes under section 320 of the Coastal
Zone Management Act of 1972 (16 U.S.C. 1451 et seq.), as amended by this
Act.

(5)

Use of
funds

Any amounts provided as a grant under this subsection,
other than as a grants under paragraph (4), may only be used for activities
described in subsection (f).

(c)

Ocean and
coastal competitive grants program

(1)

Establishment

The
Secretary shall use amounts allocated under subsection (a)(3)(A)(I)(II) to make
competitive grants for conservation and management of ocean, coastal, and Great
Lakes ecosystems and marine resources.

(2)

Ocean, coastal,
and great lakes review panel

(A)

In
general

The Secretary shall establish an Ocean, Coastal, and
Great Lakes Review Panel (in this subsection referred to as the
Panel), which shall consist of 12 members appointed by the
Secretary with expertise in the conservation and management of ocean, coastal,
and Great Lakes ecosystems and marine resources. In appointing members to the
Council, the Secretary shall include a balanced diversity of representatives of
relevant Federal agencies, the private sector, nonprofit organizations, and
academia.

(B)

Functions

The
Panel shall—

(i)

review, in
accordance with the procedures and criteria established under paragraph (3),
grant applications under this subsection;

(ii)

make
recommendations to the Secretary regarding which grant applications should be
funded and the amount of each grant; and

(iii)

establish any
specific requirements, conditions, or limitations on a grant application
recommended for funding.

(3)

Procedures and
eligibility criteria for grants

(A)

In
general

The Secretary shall establish—

(i)

procedures for
applying for a grant under this subsection and criteria for evaluating
applications for such grants; and

(ii)

criteria, in
consultation with the Panel, to determine what persons are eligible for grants
under the program.

In making grants under this subsection the Secretary shall
give the highest priority to the recommendations of the Panel. If the Secretary
disapproves a grant recommended by the Panel, the Secretary shall explain that
disapproval in writing.

(5)

Use of grant
funds

Any amounts provided as a grant under this subsection may
only be used for activities described in subsection (f).

(d)

Grants to
Regional Ocean Partnerships

(1)

Grant
authority

The Secretary may use amounts allocated under
subsection (a)(3)(A)(iii) to make grants to Regional Ocean Partnerships.

(2)

Eligibility

In
order to be eligible to receive a grant, a Regional Ocean Partnership must
prepare and annually revise a plan that—

establishes a process for coordinating and
collaborating with the Regional Coordination Councils established under section
602 to address regional issues and information needs and achieve regional goals
and priorities; and

(C)

demonstrates that
activities to be carried out with such funds are eligible uses of the funds
identified in subsection (f).

(3)

Approval by
Secretary

Such plans must be submitted to and approved by the
Secretary.

(4)

Public input and
comment

In determining whether to approve such plans, the
Secretary shall provide opportunity for, and take into consideration, input and
comment on the plans from stakeholders and the general public.

(5)

Use of
funds

Any amounts provided as a grant under this subsection may
only be used for activities described in subsection (f).

(e)

Long-Term ocean
and coastal observations

(1)

In
general

The Secretary shall use the amounts allocated under
subsection (a)(3)(A)(ii) to build, operate, and maintain the system established
under section 12304 of Public Law 111–11 (33 U.S.C. 3603), in accordance with
the purposes and policies for which the system was established.

(2)

Administration
of funds

The Secretary shall administer and distribute funds
under this subsection based upon comprehensive system budgets adopted by the
Council referred to in section 12304(c)(1)(A) of the Integrated Coastal and
Ocean Observation System Act of 2009 (33 U.S.C. 3603(c)(1)(A)).

(f)

Eligible use of
funds

Any funds made available under this section may only be
used for activities that contribute to the conservation, protection,
maintenance, and restoration of ocean, coastal, and Great Lakes ecosystems in a
manner that is consistent with Federal environmental laws and that avoids
environmental degradation, including—

activities to
protect marine biodiversity and living marine and coastal resources and their
habitats, including fish populations;

(3)

the development
and implementation of multiobjective, science- and ecosystem-based plans for
monitoring and managing the wide variety of uses affecting ocean, coastal, and
Great Lakes ecosystems and resources that consider cumulative impacts and are
spatially explicit where appropriate;

(4)

activities to
improve the resiliency of those ecosystems;

(5)

activities to
improve the ability of those ecosystems to become more resilient, and to adapt
to and withstand the impacts of climate change and ocean acidification;

(6)

planning for and
managing coastal development to minimize the loss of life and property
associated with sea level rise and the coastal hazards resulting from
it;

(7)

research,
education, assessment, monitoring, and dissemination of information that
contributes to the achievement of these purposes;

(8)

research of,
protection of, enhancement to, and activities to improve the resiliency of
culturally significant areas and resources; and

Not later
than 3 years after the date of enactment of the
Oil Spill Accountability and Environmental
Protection Act of 2011, and at least once every 3 years
thereafter, the President shall review the limits on liability specified in
subsection (a) and shall by regulation revise such limits upward to reflect
either the amount of liability that the President determines is commensurate
with the risk of discharge of oil presented by a particular category of vessel,
facility, or port or any increase in the Consumer Price Index, whichever is
greater.

.

(b)

Applicability

The
amendments made by this section apply to—

(1)

any claim arising
from an event occurring after the date of enactment of this Act; and

(2)

any claim arising
from an event occurring before such date of enactment, if the claim is brought
within the limitations period applicable to the claim.

in subparagraph
(B) by striking subparagraph (A) is and all that follows before
the period and inserting subparagraph (A) is $300,000,000;
and

(B)

by striking
subparagraph (C) and inserting the following:

(C)

Alternate
amount

(i)

Specific
facilities

(I)

In
general

If the President
determines that an amount of financial responsibility for a responsible party
that is less than the amount required by subparagraph (B) is justified based on
the criteria established under clause (ii), the evidence of financial
responsibility required shall be for an amount determined by the
President.

(II)

Minimum
amounts

In no case shall the evidence of financial responsibility
required under this section be less than—

(aa)

$105,000,000 for an offshore facility
located seaward of the seaward boundary of a State; or

(bb)

$30,000,000 for
an offshore facility located landward of the seaward boundary of a
State.

(ii)

Criteria for
determination of financial responsibility

The President shall prescribe the amount of
financial responsibility required under clause (i)(I) based on the
following:

(I)

The market capacity of the insurance
industry to issue such instruments.

(II)

The operational
risk of a discharge and the effects of that discharge on the environment and
the region.

(III)

The quantity and
location of the oil and gas that is explored for, drilled for, produced, or
transported by the responsible party.

(IV)

The asset value
of the owner of the offshore facility, including the combined asset value of
all partners that own the facility.

(V)

The cost of all
removal costs and damages for which the owner may be liable under this Act
based on a worst-case scenario.

(VI)

The safety
history of the owner of the offshore facility.

(VII)

Any other
factors that the President considers appropriate.

(iii)

Adjustment for
all offshore facilities

(I)

In
general

Not later than 3
years after the date of enactment of the Oil
Spill Accountability and Environmental Protection Act of 2011,
and at least once every 3 years thereafter, the President shall review the
levels of financial responsibility specified in this subsection and the limit
on liability specified in subsection (f)(4) and may by regulation revise such
levels and limit upward to the levels and limit that the President determines
are justified based on the relative operational, environmental, and other risks
posed by the quantity, quality, or location of oil that is explored for,
drilled for, produced, or transported by the responsible party.

(II)

Notice to
Congress

Upon completion of a
review specified in subclause (I), the President shall notify Congress as to
whether the President will revise the levels of financial responsibility and
limit on liability referred to in subclause (I) and the factors used in making
such determination.

;

(2)

in subsection (e) by striking
self-insurer, and inserting self-insurer, participation
in cooperative arrangements such as pooling or joint insurance,;
and

(3)

in subsection
(f)—

(A)

in paragraph (1)
by striking Subject and inserting Except as provided in
paragraph (4) and subject; and

(B)

by adding at the
end the following:

(4)

Maximum
liability

The maximum
liability of a guarantor of an offshore facility under this subsection is
$300,000,000.

.

604.

Damages to
human health

(a)

In
general

Section 1002(b)(2) of
the Oil Pollution Act of 1990 (33 U.S.C. 2702(b)(2)) is amended by adding at
the end the following:

(G)

Human
health

(i)

In
general

Damages to human health, including fatal injuries, which
shall be recoverable by any claimant who has a demonstrable, adverse impact to
human health or, in the case of a fatal injury to an individual, a claimant
filing a claim on behalf of such individual.

(ii)

Inclusion

For
purposes of clause (i), the term human health includes mental
health.

.

(b)

Applicability

The
amendments made by this section apply to—

(1)

any claim arising
from an event occurring after the date of enactment of this Act; and

(2)

any claim arising
from an event occurring before such date of enactment, if the claim is brought
within the limitations period applicable to the claim.

605.

Clarification
of liability for discharges from mobile offshore drilling units

in the heading by
striking Rebuttable
presumption and inserting Judicial review of assessments; and

(2)

by striking have the force and
effect and all that follows before the period and inserting the
following: be subject to judicial review under subchapter II of chapter
5 of title 5, United States Code (commonly known as the Administrative
Procedure Act), on the basis of the administrative record developed by the lead
Federal trustee as provided in such regulations.

607.

Procedures for
claims against Fund; Information on claims

(a)

Procedures for
claims against Fund

Section
1013(e) of the Oil Pollution Act of 1990 (33 U.S.C. 2713(e)) is amended by
adding at the end the following: In the event of a spill of national
significance, the President may exercise the authorities under this section to
ensure that the presentation, filing, processing, settlement, and adjudication
of claims occurs within the States and local governments affected by such spill
to the greatest extent practicable..

(b)

Information on
claims

Title I of the Oil
Pollution Act of 1990 (33 U.S.C. 2701 et seq.) is amended by inserting after
section 1013 the following:

1013A.

Information
on claims

In the event of a
spill of national significance, the President may require a responsible party
or a guarantor of a source designated under section 1014(a) to provide to the
President any information on or related to claims, either individually, in the
aggregate, or both, that the President requests, including—

(1)

the transaction
date or dates of such claims, including processing times; and

(2)

any other data
pertaining to such claims necessary to ensure the performance of the
responsible party or the guarantor with regard to the processing and
adjudication of such
claims.

.

(c)

Conforming
amendment

The table of
contents contained in section 2 of such Act is amended by inserting after the
item relating to section 1013 the following:

Sec. 1013A. Information on
claims.

.

(d)

Applicability

The
amendments made by this section apply to—

(1)

any claim arising
from an event occurring after the date of enactment of this Act; and

(2)

any claim arising
from an event occurring before such date of enactment, if the claim is brought
within the limitations period applicable to the claim.

608.

Additional
amendments and clarifications to Oil Pollution Act of 1990

(a)

Definitions

(1)

Removal
costs

Section 1001(31) of the
Oil Pollution Act of 1990 (33 U.S.C. 2701(31)) is amended by inserting before
the semicolon the following: and includes all costs of Federal
enforcement activities related thereto.

(2)

Responsible
party

Section 1001(32)(B) of such Act (33 U.S.C. 2701(32)(B)) is
amended by inserting before , except a the following: or
any person who owns or who has a leasehold interest or other property interest
in the land or in the minerals beneath the land on which the facility is
located, and any person who is the assignor of a property interest in the land
or in the minerals beneath the land on which the facility is
located,.

(b)

Elements of
liability

Section 1002(b)(1)(A) of such Act (33 U.S.C.
2702(b)(1)(A)) is amended by inserting before the semicolon the following:
, including all costs of Federal enforcement activities related
thereto.

(c)

Subrogation

Section
1015(c) of such Act (33 U.S.C. 2715(c)) is amended by adding at the end the
following: In such actions, the Fund shall recover all costs and damages
paid from the Fund unless the decision to make the payment is found to be
arbitrary or capricious..

(d)

Financial
responsibility

Section 1016(f)(1) of such Act (33 U.S.C.
2717(f)(1)) is amended—

(1)

by inserting
and at the end of subparagraph (A);

(2)

by striking
; and at the end of subparagraph (B) and inserting a period;
and

(3)

by striking
subparagraph (C).

(e)

Considerations
of trustees

Section 1006(d)
of such Act (33 U.S.C. 2706(d)) is amended by adding at the end the
following:

(4)

Considerations
of trustees

(A)

Equal and full
consideration

Trustees shall—

(i)

give equal and
full consideration to restoration, rehabilitation, replacement, and the
acquisition of the equivalent of the natural resources under their trusteeship;
and

(ii)

consider
restoration, rehabilitation, replacement, and the acquisition of the equivalent
of the natural resources under their trusteeship in a holistic ecosystem
context and using, where available, eco-regional or natural resource
plans.

(B)

Special rule on
acquisition

Acquisition shall only be given full and equal
consideration under subparagraph (A) if it provides a substantially greater
likelihood of improving the resilience of the lost or damaged resource and
supports local ecological
processes.

.

(f)

Applicability

The
amendments made by this section apply to—

(1)

any claim arising
from an event occurring after the date of enactment of this Act; and

(2)

any claim arising
from an event occurring before such date of enactment, if the claim is brought
within the limitations period applicable to the claim.

609.

Americanization of
offshore operations in the Exclusive Economic Zone

(a)

Registry
endorsement required

(1)

In
general

Section 12111 of
title 46, United States Code, is amended by adding at the end the
following:

(e)

Resource
activities in the EEZ

Except
for activities requiring an endorsement under sections 12112 or 12113, only a
vessel for which a certificate of documentation with a registry endorsement is
issued and that is owned by a citizen of the United States (as determined under
section 50501(d)) may engage in support of exploration, development, or
production of resources in, on, above, or below the exclusive economic zone or
any other activity in the exclusive economic zone to the extent that the
regulation of such activity is not prohibited under customary international
law.

.

(2)

Applicability

The amendment made by paragraph (1) applies
only with respect to exploration, development, production, and support
activities that commence on or after July 1, 2011.

(b)

Legal
authority

Section 2301 of title 46, United States Code, is
amended—

(1)

by striking
chapter and inserting title; and

(2)

by inserting after
1988 the following: and the exclusive economic zone to
the extent that the regulation of such operation is not prohibited under
customary international law.

(c)

Training for
Coast Guard personnel

Not later than 180 days after the date of
enactment of this Act, the Secretary of the department in which the Coast Guard
is operating shall establish a program to provide Coast Guard personnel with
the training necessary for the implementation of the amendments made by this
section.

610.

Safety
management systems for mobile offshore drilling units

Section 3203 of title 46, United States
Code, is amended—

(1)

by redesignating
subsections (b) and (c) as subsections (c) and (d), respectively; and

(2)

by inserting after
subsection (a) the following:

(b)

Mobile offshore
drilling units

The safety management system described in
subsection (a) for a mobile offshore drilling unit operating in waters subject
to the jurisdiction of the United States (including the exclusive economic
zone) shall include processes, procedures, and policies related to the safe
operation and maintenance of the machinery and systems on board the vessel that
may affect the seaworthiness of the vessel in a worst-case
event.

.

611.

Safety
standards for mobile offshore drilling units

Section 3306 of title 46, United States
Code, is amended by adding at the end the following:

(l)

In prescribing regulations for mobile
offshore drilling units, the Secretary shall develop standards to address a
worst-case event on the
vessel.

.

612.

Operational
control of mobile offshore drilling units

(a)

Licenses for
masters of mobile offshore drilling units

(1)

In
general

Chapter 71 of title 46, United States Code, is amended by
redesignating sections 7104 through 7115 as sections 7105 through 7116,
respectively, and by inserting after section 7103 the following:

7104.

Licenses for
masters of mobile offshore drilling units

A license as master of a mobile offshore
drilling unit may be issued only to an applicant who has been issued a license
as master under section 7101(c)(1) and has demonstrated the knowledge,
understanding, proficiency, and sea service for all industrial business or
functions of a mobile offshore drilling
unit.

.

(2)

Conforming
amendment

Section 7109 of such title, as so redesignated, is
amended by striking section 7106 or 7107 and inserting
section 7107 or 7108.

(3)

Clerical
amendment

The analysis at the beginning of such chapter is
amended by striking the items relating to sections 7104 through 7115 and
inserting the following:

7104. Licenses for masters of mobile
offshore drilling units.

7105. Certificates for medical doctors and
nurses.

7106. Oaths.

7107. Duration of licenses.

7108. Duration of certificates of
registry.

7109. Termination of licenses and
certificates of registry.

7110. Review of criminal
records.

7111. Exhibiting licenses.

7112. Oral examinations for
licenses.

7113. Licenses of masters or mates as
pilots.

7114. Exemption from draft.

7115. Fees.

7116. Merchant Mariner Medical Advisory
Committee.

.

(b)

Requirement for
certificate of inspection

Section 8101(a)(2) of title 46, United
States Code, is amended by inserting before the semicolon the following:
and shall at all times be under the command of a master licensed under
section 7104.

(c)

Effective
date

The amendments made by this section shall take effect 6
months after the date of enactment of this Act.

613.

Single-hull
tankers

(a)

Application of
tank vessel construction standards

Section 3703a(b) of title 46,
United States Code, is amended by striking paragraph (3), and redesignating
paragraphs (4) through (6) as paragraphs (3) through (5), respectively.

(b)

Effective
date

The amendment made by subsection (a) takes effect on January
1, 2011.

614.

Repeal of
response plan waiver

Section
311(j)(5)(G) of the Federal Water Pollution Control Act (33 U.S.C.
1321(j)(5)(G)) is amended—

by striking
tank vessel, nontank vessel, or facility and inserting
nontank vessel; and

(3)

by adding at the
end the following: A mobile offshore drilling unit, as such term is
defined in section 1001 of the Oil Pollution Act of 1990 (33 U.S.C. 2701), is
not eligible to operate without a response plan approved under this
section..

615.

National Contingency
Plan

(a)

Guidelines for
containment booms

Section
311(d)(2) of the Federal Water Pollution Control Act (33 U.S.C. 1321(d)(2)) is
amended by adding at the end the following:

(N)

Guidelines regarding the use of containment
booms to contain a discharge of oil or a hazardous substance, including
identification of quantities of containment booms likely to be needed,
available sources of containment booms, and best practices for containment boom
placement, monitoring, and
maintenance.

.

(b)

Schedule,
criteria, and fees

Section
311(d) of the Federal Water Pollution Control Act (33 U.S.C. 1321(d)) is
amended by adding at the end the following:

(5)

Schedule for use
of dispersants, other chemicals, and other spill mitigating devices and
substances

(A)

Rulemaking

Not later than 2 years after the date of
enactment of this paragraph, the President, acting through the Administrator,
after providing notice and an opportunity for public comment, shall issue a
revised regulation for the development of the schedule for the use of
dispersants, other chemicals, and other spill mitigating devices and substances
developed under paragraph (2)(G) in a manner that is consistent with the
requirements of this paragraph and shall modify the existing schedule to take
into account the requirements of the revised regulation.

(B)

Schedule listing
requirements

In issuing the
regulation under subparagraph (A), the Administrator shall—

(i)

with respect to dispersants, other
chemicals, and other spill mitigating substances included or proposed to be
included on the schedule under paragraph (2)(G)—

(I)

establish minimum
toxicity and efficacy testing criteria, taking into account the results of the
study carried out under subparagraph (D);

(II)

provide for
testing or other verification (independent from the information provided by an
applicant seeking the inclusion of such dispersant, chemical, or substance on
the schedule) related to the toxicity and effectiveness of such dispersant,
chemical, or substance;

(III)

establish a
framework for the application of any such dispersant, chemical, or substance,
including—

(aa)

application
conditions;

(bb)

the
quantity thresholds for which approval by the Administrator is required;

(cc)

the
criteria to be used to develop the appropriate maximum quantity of any such
dispersant, chemical, or substance that the Administrator determines may be
used, both on a daily and cumulative basis; and

(dd)

a ranking, by geographic area, of any such
dispersant, chemical, or substance based on a combination of its effectiveness
for each type of oil and its level of toxicity;

(IV)

establish a requirement that the volume of
oil or hazardous substance discharged, and the volume and location of any such
dispersant, chemical, or substance used, be measured and made publicly
available, including on the Internet;

(V)

require that an applicant seeking the
inclusion of a dispersant, chemical, or substance on the schedule shall assure
that such applicant will publicly disclose, upon a declaration of a spill of
national significance, the constituent ingredients of such dispersant,
chemical, or substance if such dispersant, chemical, or substance will be used
to respond to the spill; and

(VI)

in addition to
existing authority, expressly provide a mechanism for the delisting of any such
dispersant, chemical, or substance that the Administrator determines poses a
significant risk or impact to water quality, aquatic life, the environment, or
any other factor the Administrator determines appropriate;

(ii)

with respect to a dispersant, other
chemical, and other spill mitigating substance not specifically identified on
the schedule, and prior to the use of such dispersant, chemical, or substance
in accordance with paragraph (2)(G)—

(I)

establish the
minimum toxicity and efficacy levels for such dispersant, chemical, or
substance;

(II)

require that, upon a declaration of a spill
of national significance, the constituent ingredients of such dispersant,
chemical, or substance be publicly disclosed if such dispersant, chemical, or
substance will be used to respond to the spill; and

(III)

require the
provision of such additional information as the Administrator determines
necessary; and

(iii)

with respect to
other spill mitigating devices included or proposed to be included on the
schedule under paragraph (2)(G)—

(I)

require the
manufacturer of such device to carry out a study of the risks and effectiveness
of the device according to guidelines developed and published by the
Administrator; and

(II)

in addition to
existing authority, expressly provide a mechanism for the delisting of any such
device based on any information made available to the Administrator that
demonstrates that such device poses a significant risk or impact to water
quality, aquatic life, the environment, or any other factor the Administrator
determines appropriate.

(C)

Delisting

In carrying out subparagraphs (B)(i)(VI)
and (B)(iii)(II), the Administrator, after posting a notice in the Federal
Register and providing an opportunity for public comment, shall initiate a
formal review of the potential risks and impacts associated with a dispersant,
chemical, substance, or device prior to delisting the dispersant, chemical,
substance, or device.

(D)

Study

(i)

In
general

Not later than 3
months after the date of enactment of this paragraph, the Administrator shall
initiate a study of the potential risks and impacts to water quality, aquatic
life, the environment, or any other factor the Administrator determines
appropriate, from the use of dispersants, other chemicals, and other
spill-mitigating substances, if any, that may be used to carry out the National
Contingency Plan, including an assessment of—

(I)

acute and chronic impacts resulting from
short term and sustained use on marine, coastal, estuarine, and freshwater
environments;

(II)

risks and impacts to a representative
sample of biota from various ocean depths, including effects on early life
stages such as eggs and larvae;

(III)

risks and
impacts from any byproducts created from the use of such dispersants,
chemicals, or substances; and

(IV)

efficacy on
particular types of oil from locations where such dispersants, chemicals, or
substances may potentially be used.

(ii)

Information
from manufacturers

(I)

In
general

In conjunction with
the study authorized by clause (i), the Administrator shall determine the
requirements for manufacturers of dispersants, chemicals, or substances to
evaluate the potential risks and impacts to water quality, the environment,
human and aquatic health, or any other factor the Administrator determines
appropriate, including acute and chronic risks, associated with the use of the
dispersants, chemicals, or substances and any byproducts generated by such use
and to provide the details of such evaluation as a condition for listing on the
schedule, or approving for use under this section, according to guidelines
developed and published by the Administrator.

(II)

Minimum
requirements for evaluation

In carrying out this clause, the
Administrator shall require a manufacturer to include—

(aa)

information that
describes the potential acute health impacts on humans who are involved in
application activities and who may reasonably be exposed during such
activities;

(bb)

information on the oils and locations where
such dispersants, chemicals, or substances may potentially be used; and

(cc)

if
appropriate, an assessment of impacts from subsea use of the dispersant,
chemical, or substance, including the potential long-term effects of such use
on water quality, aquatic life, and the environment.

(E)

Periodic
revisions

(i)

In
general

Not later than 5
years after the date of the issuance of the regulation under this paragraph,
and at least once every 5 years thereafter, the Administrator shall review the
schedule for the use of dispersants, other chemicals, and other spill
mitigating devices and substances that may be used to carry out the National
Contingency Plan and update or revise the schedule, as necessary, to ensure the
protection of water quality, aquatic life, the environment, and any other
factor the Administrator determines appropriate.

(ii)

Effectiveness

The Administrator shall ensure, to the
maximum extent practicable, that each update or revision to the schedule
increases the effectiveness and decreases the toxicity values necessary for
listing a dispersant, other chemical, or other spill mitigating device or
substance on the schedule.

(F)

Approval of use
and application of dispersants

(i)

In
general

In issuing the regulation under subparagraph (A), the
Administrator shall require the approval of the Federal On-Scene Coordinator,
in coordination with the Administrator, for all uses of a dispersant, other
chemical, or other spill mitigating substance in any removal action,
including—

(I)

any such
dispersant, chemical, or substance that is included on the schedule developed
pursuant to this subsection; or

(II)

any dispersant,
chemical, or other substance that is included as part of an approved area
contingency plan or response plan developed under this section.

(ii)

Repeal

Any
part of section 300.910 of title 40, Code of Federal Regulations, that is
inconsistent with this paragraph is hereby repealed.

(G)

Toxicity
definition

In this section, the term toxicity is
used in reference to the potential impacts of a dispersant, substance, or
device on water quality, organismal health, or the environment.

(6)

Review of and
Development of Criteria for Evaluating Response Plans

(A)

Review

Not
later than 6 months after the date of enactment of this paragraph, the
President shall review the procedures and standards developed under paragraph
(2)(J) to determine their sufficiency in ceasing and removing a worst case
discharge of oil or hazardous substances, and for mitigating or preventing a
substantial threat of such a discharge.

(B)

Rulemaking

Not
later than 2 years after the date of enactment of this paragraph, the
President, after providing notice and an opportunity for public comment, shall
issue a final rule to—

(i)

revise the
procedures and standards for ceasing and removing a worst case discharge of oil
or hazardous substances, and for mitigating or preventing a substantial threat
of such a discharge; and

(ii)

develop a metric
for the periodic evaluation and, as necessary, revision, of the National
Contingency Plan, Area Contingency Plans, and tank vessel, nontank vessel, and
facility response plans consistent with the procedures and standards developed
pursuant to this paragraph.

(C)

Use of
worst-case scenario discharge estimates

In carrying out the
activities required under this paragraph, the President shall use the
worst-case scenario discharge estimates published by the Secretary under
section 208(a) of the Implementing the
Recommendations of the BP Oil Spill Commission Act of 2011as a
basis for assessing the sufficiency of the procedures and standards developed
under paragraph (2)(J).

(7)

Fees

(A)

General
authority and fees

Subject to subparagraph (B), the Administrator
shall establish a schedule of fees to be collected from the manufacturer of a
dispersant, chemical, or spill mitigating substance or device to offset the
costs of the Administrator associated with evaluating the use of the
dispersant, chemical, substance, or device in accordance with this subsection
and listing the dispersant, chemical, substance, or device on the schedule
under paragraph (2)(G).

(B)

Limitation on
collection

No fee may be collected under this subsection unless
the expenditure of the fee to pay the costs of activities and services for
which the fee is imposed is provided for in advance in an appropriations
Act.

(C)

Fees credited as
offsetting collections

(i)

In
general

Notwithstanding section 3302 of title 31, United States
Code, any fee authorized to be collected under this paragraph shall—

(I)

be credited as
offsetting collections to the account that finances the activities and services
for which the fee is imposed;

(II)

be available for
expenditure only to pay the costs of activities and services for which the fee
is imposed, including all costs associated with collecting such fees;
and

(III)

remain available
until expended.

(ii)

Continuing
appropriations

The Administrator may continue to assess, collect,
and spend fees established under this section during any period in which the
funding for the Environmental Protection Agency is provided under an Act
providing continuing appropriations in lieu of the Administration’s regular
appropriations.

(iii)

Adjustments

The
Administrator shall adjust the fees established by subparagraph (A)
periodically to ensure that each of the fees required by subparagraph (A) is
reasonably related to the Administration’s costs, as determined by the
Administrator, of performing the activity for which the fee is
imposed.

which may affect
natural resources belonging to, appertaining to, or under the exclusive
management authority of the United States (including resources under the
Fishery Conservation and Management Act of 1976 (16 U.S.C. 1801 et
seq.)).

(B)

Requirements

The database shall—

(i)

include—

(I)

the name of the
vessel or facility;

(II)

the name of the
owner, operator, or person in charge of the vessel or facility;

(III)

the date of the
discharge;

(IV)

the volume of the
discharge;

(V)

the location of
the discharge, including an identification of any receiving waters that are or
could be affected by the discharge;

(VI)

the type, volume,
and location of the use of any dispersant, other chemical, or other spill
mitigating substance used in any removal action;

(VII)

a record of any
determination of a violation of this section or liability under section 1002 of
the Oil Pollution Act of 1990 (33 U.S.C. 2702);

(VIII)

a record of any
enforcement action taken against the owner, operator, or person in charge;
and

(IX)

any additional
information that the President determines necessary;

(ii)

use data provided
by the Environmental Protection Agency, the Coast Guard, and other appropriate
Federal agencies;

(iii)

use data
protocols developed and managed by the Environmental Protection Agency;
and

(iv)

be publicly
accessible, including by electronic
means.

.

617.

Evaluation and
approval of response plans; maximum penalties

(a)

Agency review of
response plans

(1)

Lead Federal
agency for review of response plans

Section 311(j)(5)(A) of the
Federal Water Pollution Control Act (33 U.S.C. 1321(j)(5)(A)) is amended by
adding at the end the following:

(iii)

In issuing the regulations under
this paragraph, the President shall ensure that—

(I)

the owner, operator, or person in charge of
a tank vessel, nontank vessel, or offshore facility described in subparagraph
(C) will not be considered to have complied with this paragraph until the
owner, operator, or person in charge submits a plan under clause (i) or (ii),
as appropriate, to the Secretary of the department in which the Coast Guard is
operating, the Secretary of the Interior, or the Administrator, with respect to
such offshore facilities as the President may designate, and the Secretary or
Administrator, as appropriate, determines and notifies the owner, operator, or
person in charge that the plan, if implemented, will provide an adequate
response to a worst case discharge of oil or a hazardous substance or a
substantial threat of such a discharge; and

(II)

the owner, operator, or person in
charge of an onshore facility described in subparagraph (C)(iv) will not be
considered to have complied with this paragraph until the owner, operator, or
person in charge submits a plan under clause (i) either to the Secretary of
Transportation, with respect to transportation-related onshore facilities, or
the Administrator, with respect to all other onshore facilities, and the
Secretary or Administrator, as appropriate, determines and notifies the owner,
operator, or person in charge that the plan, if implemented, will provide an
adequate response to a worst-case discharge of oil or a hazardous substance or
a substantial threat of such a discharge.

(iv)(I)

The Secretary of the
department in which the Coast Guard is operating, the Secretary of the
Interior, the Secretary of Transportation, or the Administrator, as
appropriate, shall require that a plan submitted to the Secretary or
Administrator for a vessel or facility under clause (iii)(I) or (iii)(II) by an
owner, operator, or person in charge—

(aa)

contain a probabilistic risk analysis for
all critical engineered systems of the vessel or facility; and

(bb)

adequately address all risks identified in
the risk analysis.

(II)

The Secretary or Administrator, as
appropriate, shall require that a risk analysis developed under subclause (I)
include, at a minimum, the following:

(aa)

An analysis of human factors risks,
including both organizational and management failure risks.

(bb)

An analysis of technical failure risks,
including both component technologies and integrated systems risks.

(cc)

An analysis of interactions between humans
and critical engineered systems.

(dd)

Quantification of the likelihood of modes
of failure and potential consequences.

(ee)

A description of methods for reducing known
risks.

(III)

The Secretary or Administrator, as
appropriate, shall require an owner, operator, or person in charge that
develops a risk analysis under subclause (I) to make the risk analysis
available to the
public.

.

(2)

Review and
Approval of response plans

Section 311(j)(5)(E) of such Act (33
U.S.C. 1321(j)(5)(E)) is amended to read as follows:

(E)

With respect to any response plan
submitted under this paragraph for an onshore facility that, because of its
location, could reasonably be expected to cause significant and substantial
harm to the environment by discharging into or on the navigable waters or
adjoining shorelines or the exclusive economic zone, and with respect to each
response plan submitted under this paragraph for a tank vessel, nontank vessel,
or offshore facility, the President shall—

(i)

promptly review the response
plan;

(ii)

verify that the response plan complies with
subparagraph (A)(iv), relating to risk analyses;

(iii)

with respect to a plan for an offshore or
onshore facility or a tank vessel that carries liquefied natural gas, provide
an opportunity for public notice and comment on the response plan;

(iv)

taking into consideration any
public comments received and other appropriate factors, as determined by the
President, require revisions to the response plan;

(v)

approve, approve with revisions, or
disapprove the response plan;

(vi)

review the response plan
periodically thereafter, and if applicable requirements are not met, acting
through the head of the appropriate Federal department or agency—

(I)

issue administrative orders directing the
owner, operator, or person in charge to comply with the response plan or any
regulation issued under this section; or

(II)

assess civil penalties or conduct other
appropriate enforcement actions in accordance with subsections (b)(6), (b)(7),
and (b)(8) for failure to develop, submit, receive approval of, adhere to, or
maintain the capability to implement the response plan, or failure to comply
with any other requirement of this section;

(vii)

acting through the head of the
appropriate Federal department or agency, conduct, at a minimum, biennial
inspections of the tank vessel, nontank vessel, or facility to ensure
compliance with the response plan or identify deficiencies in such plan;

(viii)

acting through the head of the
appropriate Federal department or agency, make the response plan available to
the public, including on the Internet; and

(ix)

in the case of a plan for a
nontank vessel, consider any applicable State-mandated response plan in effect
on the date of enactment of the Coast Guard and Maritime Transportation Act of
2004 and ensure consistency to the extent
practicable.

.

(3)

Biennial
report

Section 311(j)(5) of such Act (33 U.S.C. 1321(j)(5)) is
amended by adding at the end the following:

(J)

Not later than 2 years after the date
of enactment of this subparagraph, and biennially thereafter, the President,
acting through the Administrator, the Secretary of the department in which the
Coast Guard is operating, and the Secretary of Transportation, shall submit to
Congress a report containing the following information for each owner,
operator, or person in charge that submitted a response plan for a tank vessel,
nontank vessel, or facility under this paragraph:

(i)

The number of response plans
approved, disapproved, or approved with revisions under subparagraph (E)
annually for tank vessels, nontank vessels, and facilities of the owner,
operator, or person in charge.

(ii)

The number of inspections
conducted under subparagraph (E) annually for tank vessels, nontank vessels,
and facilities of the owner, operator, or person in charge.

(iii)

A summary of each administrative
or enforcement action concluded with respect each tank vessel, nontank vessel,
and facility of the owner, operator, or person in charge, including a
description of the violation, the date of violation, the amount of each penalty
proposed, and the final assessment of each penalty and an explanation for any
reduction in a
penalty.

.

(4)

Administrative
provisions for facilities

Section 311(m)(2) of such Act (33
U.S.C. 1321(m)(2)) is amended in each of subparagraphs (A) and (B) by inserting
, the Secretary of Transportation, before or the
Secretary of the department in which the Coast Guard is
operating.

(b)

Penalties

(1)

Administrative
penalties

(A)

Authority of
Secretary of Transportation to assess penalties

Section
311(b)(6)(A) of such Act (33 U.S.C. 1321(b)(6)(A)) is amended by inserting
, the Secretary of Transportation, before or the
Administrator.

(B)

Administrative
Penalties for Failure to Provide Notice

Section 311(b)(6)(A) of such Act (33 U.S.C.
1321(b)(6)(A)) is further amended—

(i)

in
clause (i) by striking paragraph (3), or and inserting
paragraph (3),;

(ii)

in
clause (ii) by striking any regulation issued under subsection
(j) and inserting any order or action required by the President
under subsection (c) or (e) or any regulation issued under subsection (d) or
(j);

(iii)

by
redesignating clause (ii) as clause (iii);

(iv)

by
inserting after clause (i) the following:

(ii)

who fails to provide notice to the
appropriate Federal agency pursuant to paragraph (5),
or

; and

(v)

by
adding at the end the following: Whenever the President delegates the
authority to issue regulations under subsection (j), the head of the agency who
issues regulations pursuant to that authority shall have the authority to
assess a civil penalty in accordance with this section for violations of such
regulations..

(C)

Penalty
amounts

Section 311(b)(6)(B) of such Act (33 U.S.C.
1321(b)(6)(B)) is amended—

(i)

in
clause (i)—

(I)

by striking
$10,000 and inserting $100,000; and

(II)

by striking
$25,000 and inserting $250,000; and

(ii)

in
clause (ii)—

(I)

by striking
$10,000 and inserting $100,000; and

(II)

by striking
$125,000 and inserting $1,000,000.

(2)

Civil
penalties

Section 311(b)(7) of such Act (33 U.S.C. 1321(b)(7)) is
amended—

(A)

in subparagraph
(A)—

(i)

by
striking $25,000 and inserting $100,000;
and

(ii)

by
striking $1,000 and inserting $2,500;

(B)

in subparagraph (B)—

(i)

by striking
described in subparagraph (A);

(ii)

in
clause (i) by striking carry out removal of the discharge under an order
of the President pursuant to subsection (c); or and inserting
comply with any order or action required by the President pursuant to
subsection (c),;

(iii)

in
clause (ii) by striking (1)(B);

(iv)

by
redesignating clause (ii) as clause (iii);

(v)

by
inserting after clause (i) the following:

(ii)

fails to provide notice to the appropriate
Federal agency pursuant to paragraph (5),
or

; and

(vi)

by striking “$25,000” and inserting
“$100,000”;

(C)

in subparagraph (C)—

(i)

by
striking (j) and inserting (d) or (j);

(ii)

by
striking $25,000 and inserting $100,000;
and

(iii)

by
adding at the end the following: Whenever the President delegates the
authority to issue regulations under subsection (j), the head of the agency who
issues regulations pursuant to that authority shall have the authority to seek
injunctive relief or assess a civil penalty in accordance with this section for
violations of such regulations and the authority to refer the matter to the
Attorney General for action under subparagraph (E).;

(D)

in subparagraph
(D)—

(i)

by
striking $100,000 and inserting $300,000;
and

(ii)

by
striking $3,000 and inserting $7,500; and

(E)

in subparagraph (E) by adding at the end
the following: The court may award appropriate relief, including a
temporary or permanent injunction, civil penalties, and punitive
damages..

(3)

Applicability

The
amendments made by this subsection apply to—

(A)

any claim arising
from an event occurring after the date of enactment of this Act; and

(B)

any claim arising
from an event occurring before such date of enactment, if the claim is brought
within the limitations period applicable to the claim.

(c)

Clarification of
Federal removal authority

Section 311(c)(1)(B)(ii) of such Act (33
U.S.C. 1321(c)(1)(B)(ii)) is amended by striking direct and
inserting direct, including through the use of an administrative
order,.

618.

Oil and
hazardous substance cleanup technologies

Section 311(j) of the Federal Water
Pollution Control Act (33 U.S.C. 1321(j)) is amended by adding at the end the
following:

(9)

Oil and
hazardous substance cleanup technologies

The President, acting through the Secretary
of the department in which the Coast Guard is operating, shall—

(A)

in coordination
with the Secretary of the Interior and the heads of other appropriate Federal
agencies, establish a process for—

(i)

quickly and
effectively soliciting, assessing, and deploying offshore oil and hazardous
substance cleanup technologies in the event of a discharge or substantial
threat of a discharge of oil or a hazardous substance; and

(ii)

effectively coordinating with other
appropriate agencies, industry, academia, small businesses, and others to
ensure the best technology available is implemented in the event of such a
discharge or threat; and

(B)

in coordination with the Secretary of the
Interior and the heads of other appropriate Federal agencies, maintain a
database on best available oil and hazardous substance cleanup technologies in
the event of a discharge or substantial threat of a discharge of oil or a
hazardous
substance.

.

619.

Implementation
of oil spill prevention and response authorities

Section 311(l) of the Federal Water
Pollution Control Act (33 U.S.C. 1321(l)) is amended—

(1)

by striking
(l) The President and inserting the following:

(l)

Delegation and
implementation

(1)

Delegation

The
President

;
and

(2)

by adding at the
end the following:

(2)

Environmental
Protection Agency

(A)

In
general

The President shall
delegate the responsibilities under subparagraph (B) to the
Administrator.

(B)

Responsibilities

With respect to onshore facilities (other
than transportation-related facilities) and such offshore facilities as the
President may designate, the Administrator shall ensure that Environmental
Protection Agency personnel develop and maintain operational capability—

(i)

for effective
inspection, monitoring, prevention, preparedness, and response authorities
related to the discharge or substantial threat of a discharge of oil or a
hazardous substance;

(ii)

to protect water
quality and the environment from impacts of a discharge or substantial threat
of a discharge of oil or a hazardous substance; and

(iii)

to review and
approve of, disapprove of, or require revisions (if necessary) to facility
response plans and to carry out all other responsibilities under subsection
(j)(5)(E).

(3)

Coast
Guard

(A)

In
general

The President shall
delegate the responsibilities under subparagraph (B) to the Secretary of the
department in which the Coast Guard is operating.

to establish and
enforce regulations and standards for procedures, methods, equipment, and other
requirements to prevent and to contain a discharge of oil or a hazardous
substance from a tank vessel or nontank vessel or such an offshore facility as
the President may designate;

(ii)

to establish and
enforce regulations, and to carry out all other responsibilities, under
subsection (j)(5) with respect to such vessels and offshore facilities as the
President may designate; and

(iii)

to protect the
environment and natural resources from impacts of a discharge or substantial
threat of a discharge of oil or a hazardous substance from such vessels and
offshore facilities as the President may designate.

(C)

Role as first
responder

(i)

In
general

The responsibilities delegated to the Secretary under
subparagraph (B) shall be sufficient to allow the Coast Guard to act as a first
responder to a discharge or substantial threat of a discharge of oil or a
hazardous substance from a tank vessel, nontank vessel, or offshore
facility.

(ii)

Capabilities

The President shall ensure that the Coast
Guard has sufficient personnel and resources to act as a first responder as
described in clause (i), including the resources necessary for on-going
training of personnel, acquisition of equipment (including containment booms,
dispersants, and skimmers), and prepositioning of equipment.

(D)

Contracts

The
Secretary may enter into contracts with private and nonprofit organizations for
personnel and equipment in carrying out the responsibilities delegated to the
Secretary under subparagraph (B).

(4)

Department of
Transportation

(A)

In
general

The President shall delegate the responsibilities under
subparagraph (B) to the Secretary of Transportation.

(B)

Responsibilities

The Secretary of Transportation
shall—

(i)

establish and enforce regulations and
standards for procedures, methods, equipment, and other requirements to prevent
and to contain discharges of oil and hazardous substances from
transportation-related onshore facilities;

(ii)

have the
authority to review and approve of, disapprove of, or require revisions (if
necessary) to transportation-related onshore facility response plans and to
carry out all other responsibilities under subsection (j)(5)(E); and

for effective
inspection, monitoring, prevention, preparedness, and response authorities
related to the discharge or substantial threat of a discharge of oil or a
hazardous substance from a transportation-related onshore facility; and

(II)

to protect the environment and natural
resources from the impacts of a discharge or substantial threat of a discharge
of oil or a hazardous substance from a transportation-related onshore
facility.

(5)

Department of
the Interior

(A)

In
general

The President shall delegate the responsibilities under
subparagraph (B) to the Secretary of the Interior.

(B)

Responsibilities

The
Secretary of the Interior shall—

(i)

establish and
enforce regulations and standards for procedures, methods, equipment, and other
requirements to prevent and to contain discharges of oil and hazardous
substances from such offshore facilities as the President may designate;

(ii)

establish and
enforce regulations to carry out all other responsibilities under subsection
(j)(5) for such offshore facilities as the President may designate;

(iii)

have the
authority to review and approve of, disapprove of, or require revisions (if
necessary) to offshore facility response plans under subsection (j)(5) for such
offshore facilities as the President may designate; and

(iv)

ensure that
Department of the Interior personnel develop and maintain operational
capability for effective inspection, monitoring, prevention, and preparedness
authorities related to the discharge or a substantial threat of a discharge of
oil or hazardous material from such offshore facilities as the President may
designate.

in subparagraph
(D) by striking or a political subdivision thereof and inserting
a political subdivision of a State, or an Indian tribe;
and

(2)

in subparagraph
(F) by striking by a State and all that follows before the
period and inserting the United States, a State, a political subdivision
of a State, or an Indian tribe.

(b)

Applicability

The
amendments made by this section apply to—

(1)

any claim arising
from an event occurring after the date of enactment of this Act; and

(2)

any claim arising
from an event occurring before such date of enactment, if the claim is brought
within the limitations period applicable to the claim.

621.

Federal
enforcement actions

Section
309(g)(6)(A) of the Federal Water Pollution Control Act (33 U.S.C.
1319(g)(6)(A)) is amended by striking or section 311(b).

622.

Time required before
electing to proceed with judicial claim or against the Fund

Paragraph (2) of section 1013(c) of the Oil
Pollution Act of 1990 (33 U.S.C. 2713(c)) is amended by striking
90 and inserting 45.

623.

Authorized
level of Coast Guard personnel

The authorized end-of-year strength for
active duty personnel of the Coast Guard for fiscal year 2011 is hereby
increased by 300 personnel, above any other level authorized by law, for
implementing the activities of the Coast Guard under this title, including the
amendments made by this title.

624.

Clarification
of memorandums of understanding

Not later than September 30, 2011, the
President (acting through the head of the appropriate Federal department or
agency) shall implement or revise, as appropriate, memorandums of understanding
to clarify the roles and jurisdictional responsibilities of the Environmental
Protection Agency, the Coast Guard, the Department of the Interior, the
Department of Transportation, and other Federal agencies relating to the
prevention of oil discharges from tank vessels, nontank vessels, and facilities
subject to the Oil Pollution Act of 1990.

625.

Build America
requirement for offshore facilities

(a)

In
general

Title VI of the Oil
Pollution Act of 1990 (33 U.S.C. 2751 et seq.) is amended by adding at the end
the following:

6005.

Build America
requirement for offshore facilities

(a)

Build America
requirement

Except as provided by subsection (b), a person may
not use an offshore facility to engage in support of exploration, development,
or production of oil or natural gas in, on, above, or below the exclusive
economic zone unless the facility was built in the United States, including
construction of any major component of the hull or superstructure of the
facility.

(b)

Waiver
authority

A person seeking to charter an offshore facility in the
exclusive economic zone may seek a waiver of subsection (a). The Secretary may
waive subsection (a) if the Secretary, in consultation with the Secretary of
the Interior and the Secretary of Transportation, finds that—

(1)

the offshore
facility was built in a foreign country and is under contract, on the date of
enactment of this section, in support of exploration, development, or
production of oil or natural gas in, on, above, or below the exclusive economic
zone;

(2)

an offshore
facility built in the United States is not available within a reasonable period
of time, as defined in subsection (e), or of sufficient quality to perform
drilling operations required under a contract; or

(3)

an emergency
requires the use of an offshore facility built in a foreign country.

(c)

Written
justification and public notice of nonavailability waiver

When
issuing a waiver based on a determination under subsection (b)(2), the
Secretary shall issue a detailed written justification as to why the waiver
meets the requirement of such subsection. The Secretary shall publish the
justification in the Federal Register and provide the public with 45 days for
notice and comment.

(d)

Final
decision

The Secretary shall approve or deny any waiver request
submitted under subsection (b) not later than 90 days after the date of receipt
of the request.

(e)

Reasonable
period of time defined

For
purposes of subsection (b)(2), the term reasonable period of
time means the time needed for a person seeking to charter an offshore
facility in the exclusive economic zone to meet the requirements in the primary
term of the person’s
lease.

.

(b)

Clerical
amendment

The table of contents contained in section 2 of such
Act is amended by inserting after the item relating to section 6004 the
following:

Sec. 6005. Build America requirement for offshore
facilities.

.

626.

Oil spill
response vessel database

(a)

Requirement

Not
later than 90 days after the date of enactment of this Act, the Commandant of
the Coast Guard shall complete an inventory of all vessels operating in the
waters of the United States that are capable of meeting oil spill response
needs designated in the National Contingency Plan authorized by section 311(d)
of the Federal Water Pollution Control Act (33 U.S.C. 1321(d)).

(b)

Categorization

The
inventory required under subsection (a) shall categorize such vessels by
capabilities, type, function, and location.

(c)

Maintenance of
database

The Commandant shall
maintain a database containing the results of the inventory required under
subsection (a) and update the information in the database on no less than a
quarterly basis.

(d)

Availability

The Commandant may make information
regarding the location and capabilities of oil spill response vessels available
to a Federal On-Scene Coordinator designated under section 311 of such Act (33
U.S.C. 1321) to assist in the response to an oil spill or other incident in the
waters of the United States.

627.

Offshore
sensing and monitoring systems

(a)

Requirement

Subtitle
A of title IV of the Oil Pollution Act of 1990 is amended by adding at the end
the following new section:

4119.

Offshore
sensing and monitoring systems

(a)

In
general

The equipment required to be available under section
311(j)(5)(D)(iii) of the Federal Water Pollution Control Act for facilities
listed in section 311(j)(5)(C)(iii) of such Act and located in more than 500
feet of water includes sensing and monitoring systems that meet the
requirements of this section.

(b)

Systems
requirements

Sensing and monitoring systems required under
subsection (a) shall—

(1)

use an integrated,
modular, expandable, multi-sensor, open-architecture design and technology with
interoperable capability;

secure Internet
access to real-time physical, biological, geological, and environmental
monitoring data gathered by the system sensors; and

(D)

a process by which
such observation data and information will be made available to Federal
Regulators and to the system established under section 12304 of Public Law
111–11 (33 U.S.C.
3603).

.

(b)

Request for
information

Within 60 days after the date of enactment of this
Act, the Secretary of the department in which the Coast Guard is operating
shall issue a request for information to determine the most capable and
efficient domestic systems that meet the requirements under section 4119 of the
Oil Pollution Act of 1990, as amended by this section.

(c)

Implementing
regulations

Within 180 days after the date of enactment of this
Act, the Secretary of the department in which the Coast Guard is operating
shall issue regulations to implement section 4119 of the Oil Pollution Act of
1990 as amended by this section.

(d)

Clerical
amendment

The table of contents in section 2 of the Oil Pollution
Act of 1990 is amended by adding at the end of the items relating to such
subtitle the following new item:

Sec. 4119. Offshore sensing and monitoring
systems.

.

628.

Oil and gas
exploration and production

Section 502 of the Federal Water Pollution
Control Act (33 U.S.C. 1362) is amended—

(1)

by striking
paragraph (24); and

(2)

by redesignating
paragraph (25) as paragraph (24).

629.

Authorization
of appropriations

(a)

Coast
Guard

In addition to amounts
made available pursuant to section 1012(a)(5)(A) of the Oil Pollution Act of
1990 (33 U.S.C. 2712(a)(5)(A)), there is authorized to be appropriated to the
Secretary of the department in which the Coast Guard is operating from the Oil
Spill Liability Trust Fund established by section 9509 of the Internal Revenue
Code of 1986 (26 U.S.C. 9509) to carry out the purposes of this title and the
amendments made by this title the following:

(1)

For fiscal year 2011, $30,000,000.

(2)

For each of fiscal years 2012 through 2015,
$32,000,000.

(b)

Environmental
Protection Agency

In addition
to amounts made available pursuant to section 1012 of the Oil Pollution Act of
1990 (33 U.S.C. 2712), there is authorized to be appropriated to the
Administrator of the Environmental Protection Agency from the Oil Spill
Liability Trust Fund to implement this title and the amendments made by this
title $10,000,000 for each of fiscal years 2011 through 2015.

(c)

Department of
Transportation

In addition to
amounts made available pursuant to section 60125 of title 49, United States
Code, there is authorized to be appropriated to the Secretary of Transportation
from the Oil Spill Liability Trust Fund to carry out the purposes of this title
and the amendments made by this title the following:

(1)

For each of fiscal
years 2011 through 2013, $7,000,000.

(2)

For each of fiscal
years 2014 and 2015, $6,000,000.

630.

Extension of
liability to persons having ownership interests in responsible parties

(a)

Definition of
responsible party

Section 1001(32) of the Oil Pollution Act of
1990 (33 U.S.C. 2701(32)) is amended by adding at the end the following:

(G)

Person having
ownership interest

Any
person, other than an individual, having an ownership interest (directly or
indirectly) in any entity described in any of subparagraphs (A) through (F) of
more than 25 percent, in the aggregate, of the total ownership interests in
such entity, if the assets of such entity are insufficient to pay the claims
owed by such entity as a responsible party under this
Act.

.

(b)

Effective
date

The amendment made by this section shall apply to an
incident occurring on or after January 1, 2010.

631.

Clarification
of liability under Oil Pollution Act of 1990

The Oil Pollution Act of 1990 is
amended—

(1)

in section 1013
(33 U.S.C. 2713), by inserting after subsection (f) the following:

(g)

Limitation on
release of liability

No
release of liability in connection with compensation received by a claimant
under this Act shall apply to liability for any type of harm unless—

(1)

the claimant
presented a claim under subsection (a) with respect to such type of harm;
and

(2)

the claimant
received compensation for such type of harm, from the responsible party or from
guarantor of the source designated under section 1014(a), in connection with
such release.

;
and

(2)

in section 1018
(33 U.S.C. 2718), by—

(A)

striking
or at the end of paragraph (1);

(B)

striking the
period at the end of paragraph (2) and inserting ; and;
and

(C)

inserting after
paragraph (2) the following:

(3)

with respect to a claim described in
section 1013(g), affect, or be construed or interpreted to affect or modify in
any way, the obligations or liabilities of any person under other Federal
law.

.

632.

Salvage
activities

Section 311 of the
Federal Water Pollution Control Act (33 U.S.C. 1321) is amended—

(1)

in subsection
(a)(2)(D) by inserting or salvage activities after
removal; and

(2)

in subsection (c)(4)(A) by inserting
or conducting salvage activities after
advice.

633.

Requirement for
redundancy in response plans

(a)

Requirement

Section
311(j)(5)(D) of the Federal Water Pollution Control Act (33 U.S.C.
1331(j)(5)(D)) is amended by redesignating clauses (v) and (vi) as clauses
(vii) and (viii), and by inserting after clause (iv) the following new
clauses:

(v)

include redundancies that specify response
actions that will be taken if other response actions specified in the plan
fail;

(vi)

be vetted by
impartial
experts;

.

(b)

Condition of
permit

The Outer Continental
Shelf Lands Act (43 U.S.C. 1331 et seq.) is amended by adding at the end the
following new section:

32.

Response plan
required for permit or license authorizing drilling for oil and
gas

The Secretary may not
issue any license or permit authorizing drilling for oil and gas on the Outer
Continental Shelf unless the applicant for the license or permit has a response
plan approved under section 311(j)(5)(D) of the Federal Water Pollution Control
Act (33 U.S.C. 1331(j)(5)(D)) for the vessel or facility that will be used to
conduct such
drilling.

.

634.

Federal Oil Spill
Research Program

(a)

Short
title

This section may be
cited as the Oil Pollution Research
and Development Program Reauthorization Act of
2011.

(b)

Federal Oil
Pollution Research Committee

(1)

Purposes

Section 7001(a)(2) of the Oil Pollution Act
of 1990 (33 U.S.C. 2761(a)(2)) is amended by striking State and
inserting State and tribal.

(2)

Membership

Section 7001(a)(3) of such Act (33 U.S.C.
2761(a)(3)) is amended to read as follows:

(3)

Structure

(A)

Members

The
Interagency Committee shall consist of representatives from the
following:

(i)

The Coast
Guard.

(ii)

The Department of
Commerce, including the National Oceanic and Atmospheric Administration.

(iii)

The Department
of the Interior.

(iv)

The Environmental
Protection Agency.

(B)

Collaborating
agencies

The Interagency
Committee shall collaborate with the following:

(i)

The National
Institute of Standards and Technology.

(ii)

The Department of
Energy.

(iii)

The Department
of Transportation, including the Maritime Administration and the Pipeline and
Hazardous Materials Safety Administration.

(iv)

The Department of
Defense, including the Army Corps of Engineers and the Navy.

(v)

The Department of
Homeland Security, including the United States Fire Administration in the
Federal Emergency Management Agency.

(vi)

The National
Aeronautics and Space Administration.

(vii)

The National
Science Foundation.

(viii)

Other Federal
agencies, as
appropriate.

.

(3)

Role of the
Chair

Section 7001(a)(4) of such Act (33 U.S.C. 2761(a)(4)) is
amended to read as follows:

(4)

Chair

(A)

In
general

A representative of
the Coast Guard shall serve as Chair.

(B)

Role of
Chair

The primary role of the Chair shall be to ensure
that—

(i)

the activities of
the Interagency Committee and the agencies listed in paragraph (3)(B) are
coordinated;

(ii)

the
implementation plans required under subsection (b)(1) are completed and
submitted;

(iii)

the annual
reports required under subsection (e) are completed and submitted;

(iv)

the Interagency Committee meets in
accordance with the requirements of paragraph (5); and

(v)

the Oil Pollution Research Advisory
Committee under subsection (f) is established and
utilized.

.

(4)

Activities

Section
7001(a) of such Act (33 U.S.C. 2761(a)) is amended by adding at the end the
following:

(5)

Activities

(A)

Ongoing,
coordinated efforts

The Interagency Committee shall ensure that
the research, development, and demonstration efforts authorized by this section
are coordinated and conducted on an ongoing basis.

determine whether
the program is resulting in the development of new or improved methods and
technologies to prevent, detect, respond to, contain, and mitigate oil
discharge.

(ii)

Frequency

In
no event shall the Interagency Committee meet less than once per year.

(C)

Information
exchange

The Interagency
Committee, acting through the Administrator of the National Oceanic and
Atmospheric Administration, shall develop a national information clearinghouse
on oil discharge that—

(i)

includes
scientific information and research on preparedness, response, and restoration;
and

(ii)

serves as a
single electronic access and input point for Federal agencies, emergency
responders, the research community, and other interested parties for such
information.

.

(c)

Oil pollution
research and technology plan

(1)

Implementation
Plan

Section 7001(b)(1) of such Act (33 U.S.C. 2761(b)(1)) is
amended—

(A)

by striking
180 days after the date of enactment of this Act and inserting
180 days after the date of enactment of the
Oil Pollution Research and Development
Program Reauthorization Act of 2011 and periodically thereafter,
as appropriate, but not less than once every 5 years;

(B)

by striking subparagraph (A) and inserting
the following:

(A)

identify the roles and responsibilities of
each member agency of the Interagency Committee under subsection (a)(3)(A) and
each of the collaborating agencies under subsection
(a)(3)(B);

;

(C)

in subparagraph (B) by inserting
containment, after response,;

(D)

in subparagraph (D) by inserting
containment, after response,;

(E)

by striking and at the end
of subparagraph (E);

(F)

in subparagraph (F)—

(i)

by striking the States, regional oil
pollution research needs and inserting State and tribal
governments, regional oil pollution research needs, including natural seeps and
pollution resulting from importing oil from overseas,; and

(ii)

by
striking the period at the end and inserting a semicolon; and

(G)

by adding at the end the following new
subparagraphs:

(G)

identify the information needed to conduct
risk assessment and risk analysis research to effectively prevent oil
discharges, including information on human factors and decisionmaking, and to
protect the environment; and

(H)

identify a methodology that—

(i)

provides for the solicitation, evaluation,
preapproval, funding, and utilization of technologies and research projects
developed by the public and private sector in advance of future oil discharges;
and

(ii)

where
appropriate, ensures that such technologies are readily available for rapid
testing and potential deployment and that research projects can be implemented
during an incident
response.

.

(2)

Advice and
guidance

Section 7001(b) of such Act (33 U.S.C. 2761(b)) is
amended by striking paragraph (2) and all that follows through under
this section. and by inserting the following:

(2)

Advice and
guidance

(A)

In
general

The Chair shall
solicit advice and guidance in the development of the research plan under
paragraph (1) from—

(i)

the Oil Pollution
Research Advisory Committee established under subsection (f);

(ii)

the National
Institute of Standards and Technology on issues relating to quality assurance
and standards measurements;

(iii)

third party
standard-setting organizations on issues relating to voluntary consensus
standards; and

(iv)

the public in
accordance with subparagraph (B).

(B)

Public
comment

Prior to the
submission of the research plan to Congress under paragraph (1), the research
plan shall be published in the Federal Register and subject to a public comment
period of 30 days. The Chair shall review the public comments received and
incorporate those comments into the plan, as
appropriate.

.

(3)

Review

Section
7001(b) of such Act (33 U.S.C. 2761(b)) is further amended by adding at the end
the following:

(3)

Review

After the submission of each research plan
to Congress under paragraph (1), the Chair shall contract with the National
Academy of Sciences—

(A)

to review the
research plan;

(B)

to assess the
adequacy of the research plan; and

(C)

to submit a report
to Congress on the conclusions of the assessment.

(4)

Incorporation of
recommendations

The Chair shall address any recommendations in
the review conducted under paragraph (3) and shall incorporate such
recommendations into the research plan, as
appropriate.

.

(d)

Oil pollution
research and development program

(1)

Establishment

Section 7001(c)(1) of such Act (33 U.S.C.
2761(c)(1)) is amended by striking research and development, as provided
in this subsection and inserting research, development, and
demonstration, as provided in this subsection and subsection
(a)(2).

(2)

Innovative oil
pollution technology

Section
7001(c)(2) of such Act (33 U.S.C. 2761(c)(2)) is amended—

(A)

in the matter
before subparagraph (A), by striking preventing or mitigating
and inserting preventing, detecting, containing, recovering, or
mitigating;

(B)

by striking
subparagraph (I);

(C)

by redesignating
subparagraph (J) as subparagraph (I);

(D)

by striking the
period at the end of subparagraph (I) (as so redesignated) and by inserting at
the end a semicolon; and

(E)

by adding at the
end the following:

(J)

technologies and methods to address oil
discharge on land and in inland waters, coastal areas, offshore areas,
including deepwater and ultra-deepwater areas, and polar and other icy areas;
and

(K)

modeling and simulation capabilities,
including tools and technologies, that can be used to facilitate effective
recovery and containment of oil discharge during incident
response.

.

(3)

Oil pollution
technology evaluation

Section 7001(c)(3) of such Act (33 U.S.C.
2761(c)(3)) is amended to read as follows:

(3)

Oil pollution
technology evaluation

The
program established under this subsection shall provide for the evaluation of
oil pollution prevention, containment, and mitigation technologies,
including—

(A)

the evaluation of
the performance and effectiveness of such technologies in preventing,
detecting, containing, recovering, and mitigating oil discharges;

(B)

the evaluation of
the environmental effects of the use of such technologies;

(C)

the evaluation and
testing of technologies developed independently of the research and development
program established under this subsection, including technologies developed by
small businesses;

(D)

the establishment,
with the advice and guidance of the National Institute of Standards and
Technology, of standards and testing protocols traceable to national standards
to measure the performance of oil pollution prevention, containment, or
mitigation technologies;

(E)

an evaluation of
the environmental effects and utility of controlled field testing;

(F)

the use, where appropriate, of controlled
field testing to evaluate real-world application of new or improved oil
discharge prevention, response, containment, recovery, or mitigation
technologies;

(G)

an evaluation of
the effectiveness of oil pollution prevention technologies based on
probabilistic risk analyses of the system; and

(H)

research conducted by the Environmental
Protection Agency and other appropriate Federal agencies for the evaluation and
testing of technologies that demonstrate—

(i)

maximum
effectiveness, including application and delivery mechanisms; and

(ii)

minimum effects,
including toxicity, to human health and the environment in both the near-term
and
long-term.

.

(4)

Oil pollution
effects research

Section
7001(c)(4) of such Act (33 U.S.C. 2761(c)(4)) is amended—

(A)

by striking
subparagraph (A) and inserting the following:

(A)

In
general

(i)

Establishment

The Interagency Committee, acting through
the Administrator of the National Oceanic and Atmospheric Administration, shall
establish a research program to monitor and scientifically evaluate the
environmental effects, including long-term effects, of oil discharge.

(ii)

Specifications

Such
program shall include the following elements:

(I)

Research on and
the development of effective tools to detect, measure, observe, analyze,
monitor, model, and forecast the presence, transport, fate, and effect of an
oil discharge throughout the environment, including tools and models to
accurately measure and predict the flow of oil discharged.

(II)

The development
of methods, including economic methods, to assess and predict damages to
natural resources, including air quality, resulting from oil discharges,
including in economically disadvantaged communities and areas.

(III)

The
identification of types of ecologically sensitive areas at particular risk from
oil discharges, such as inland waters, coastal areas, offshore areas, including
deepwater and ultra-deepwater areas, and polar and other icy areas.

(IV)

The preparation
of scientific monitoring and evaluation plans for the areas identified under
subclause (III) to be implemented in the event of major oil discharges in such
areas.

(V)

The collection of
environmental baseline data in the areas identified under subclause (III) if
such data are insufficient.

(VI)

The use of both
onshore and offshore air quality monitoring to study the effects of an oil
discharge and oil discharge cleanup technologies on air quality.

(VII)

Making the
results, health, and safety warnings readily available to the public, including
emergency responders, the research community, local residents, and other
interested parties.

(VIII)

Research on
technologies, methods, and standards for protecting removal personnel and for
volunteers that may participate in incident responses, including training,
adequate supervision, protective equipment, maximum exposure limits, and
decontamination
procedures.

;

(B)

in subparagraph
(B)—

(i)

by
striking (B) The Department of Commerce and all that follows
through future oil discharges. and inserting the
following:

(B)

Conditions

The Interagency Committee, acting through
the Administrator of the National Oceanic and Atmospheric Administration, shall
conduct research activities under subparagraph (A) for areas in which—

(i)

the amount of oil
discharged exceeds 250,000 gallons; and

(ii)

a
study of the long-term environmental effects of the discharge would be of
significant scientific value, especially for preventing or responding to future
oil
discharges.

;

(ii)

by
striking ATHOS I, and and inserting ATHOS I;;
and

(iii)

by
striking the period at the end and inserting ; Prince William Sound,
where oil was discharged by the EXXON VALDEZ; and the Gulf of Mexico, where oil
was discharged by the DEEPWATER HORIZON.; and

(C)

in subparagraph
(C) by striking Research and inserting Coordination.—Research.

(5)

Demonstration
projects

Section 7001(c)(6) of such Act (33 U.S.C. 2761(c)(6)) is
amended—

(A)

by striking the
first sentence and inserting the following: The United States Coast
Guard, in conjunction with such agencies as the President may designate, shall
conduct a total of 2 port oil pollution minimization demonstration projects, 1
with the Ports of Los Angeles and Long Beach, California, and 1 with a port on
the Great Lakes, for the purpose of developing and demonstrating integrated
port oil pollution prevention and cleanup systems that utilize the information
and implement the improved practices and technologies developed from the
research, development, and demonstration program established in this
section.; and

(B)

in the second
sentence by striking oil spill and inserting oil
discharge.

(6)

Simulated
Environmental Testing

Section
7001(c)(7) of such Act (33 U.S.C. 2761(c)(7)) is amended by inserting
Oil pollution technology testing and evaluations shall be given priority
over all other activities performed at such Research Center. after
evaluations..

(7)

Regional
research program

(A)

In
general

Section 7001(c)(8) of such Act (33 U.S.C. 2761(c)(8)) is
amended—

(i)

in subparagraph
(A)—

(I)

by striking
program of competitive grants and inserting program of
peer-reviewed, competitive grants; and

(II)

by striking
(1989) and inserting (2009);

(ii)

in
subparagraph (C) by striking the entity or entities which and
inserting at least one entity that; and

(iii)

by
adding at the end the following new subparagraph:

(H)

In carrying out this paragraph, the
Interagency Committee shall coordinate the program of peer-reviewed,
competitive grants to universities or other research institutions, including
Minority Serving Institutions as defined under section 371(a) of the Higher
Education Act of 1965 (20 U.S.C. 1067q(a)), and provide consideration to such
institutions in the recommendations for awarding
grants.

.

(B)

Funding

Section 7001(c)(9) of such Act (33 U.S.C.
2761(c)(9)) is amended by striking 1991 and all that follows
through shall be available and inserting 2011, 2012,
2013, 2014, and 2015, there are authorized to be appropriated from amounts in
the Fund $12,000,000.

(e)

International
cooperation

Section 7001(d) of such Act (33 U.S.C. 2761(d)) is
amended to read as follows:

(d)

International
cooperation

In accordance with the research plan submitted under
subsection (b), the Interagency Committee shall engage in international
cooperation by—

(1)

harnessing global
expertise through collaborative partnerships with foreign governments and
research entities, and domestic and foreign private actors, including
nongovernmental organizations and private sector companies; and

(2)

leveraging public
and private capital, technology, expertise, and services towards innovative
models that can be instituted to conduct collaborative oil pollution research,
development, and demonstration activities, including controlled field tests of
oil discharges and other activities designed to improve oil recovery and
cleanup.

.

(f)

Annual
reports

Section 7001(e) of such Act (33 U.S.C. 2761(e)) is
amended to read as follows:

(e)

Annual
report

(1)

Concurrent with
the submission to Congress of the President’s annual budget request in each
year after the date of enactment of the Oil
Pollution Research and Development Program Reauthorization Act of
2011, the Chair of the Interagency Committee shall submit to
Congress a report describing the—

(A)

activities carried out under this section
in the preceding fiscal year, including—

(i)

a
description of major research conducted on oil discharge prevention, detection,
containment, recovery, and mitigation techniques in all environments by each
agency described in subsection (a)(3)(A) and (B); and

(ii)

a
summary of—

(I)

projects in which
the agency contributed funding or other resources;

(II)

major projects
undertaken by State and tribal governments, and foreign governments; and

(III)

major projects
undertaken by the private sector and educational institutions;

(B)

activities being carried out under this
section in the current fiscal year, including a description of major research
and development activities on oil discharge prevention, detection, containment,
recovery, and mitigation technologies and techniques in all environments that
each agency will conduct or contribute to; and

(C)

activities proposed to be carried out under
this section in the subsequent fiscal year, including an analysis of how these
activities will further the purposes of the program authorized by this
section.

(2)

If the National
Academy of Sciences provides recommendations on the research plan under
subsection (b)(3), the Chair shall include, in the first annual report under
paragraph (1) of this subsection, a description of those recommendations
incorporated into the research plan, and a description of, and explanation for,
any recommendations that are not included in such
plan.

.

(g)

Advisory
committee

Section 7001 of such Act (33 U.S.C. 2761) is further
amended—

(1)

by redesignating
subsection (f) as subsection (g); and

(2)

by inserting after
subsection (e) the following:

(f)

Advisory
committee

(1)

Establishment

Not
later than 90 days after the date of enactment of the
Oil Pollution Research and Development
Program Reauthorization Act of 2011, the Chair of the Interagency
Committee shall establish an advisory committee to be known as the Oil
Pollution Research Advisory Committee (in this subsection referred to as the
advisory committee).

(2)

Membership

(A)

In
general

The advisory committee shall be composed of members
appointed by the Chair, in consultation with each member agency described in
subsection (a)(3), including—

(i)

individuals with
extensive knowledge and research experience or operational knowledge of
prevention, detection, response, containment, and mitigation of oil
discharges;

(ii)

individuals
broadly representative of stakeholders affected by oil discharges; and

(iii)

other
individuals, as determined by the Chair.

(B)

Limitations

The
Chair shall—

(i)

appoint no more
than 25 members that shall not include representatives of the Federal
Government, but may include representatives from State, tribal, and local
governments; and

(ii)

ensure that no
class of individuals described in clause (ii) or (iii) of subparagraph (A)
comprises more than 1/3 of the membership of the advisory
committee.

(C)

Terms of
service

(i)

In
general

Members shall be appointed for a 3-year term and may
serve for not more than 2 terms, except as provided in clause (iii).

(ii)

Vacancies

Vacancy
appointments shall be for the remainder of the unexpired term of the
vacancy.

(iii)

Special
rule

If a member is appointed to fill a vacancy and the remainder
of the unexpired term is less than 1 year, the member may subsequently be
appointed for 2 full terms.

(D)

Compensation and
expenses

Members of the advisory committee shall not be
compensated for service on the advisory committee, but may be allowed travel
expenses, including per diem in lieu of subsistence, in accordance with
subchapter I of chapter 57 of title 5, United States Code.

(3)

Duties

The
advisory committee shall review, advise, and comment on Interagency Committee
activities, including the following:

(A)

Management and functioning of the
Interagency Committee.

(B)

Collaboration of
the Interagency Committee and the agencies listed in subsection
(a)(3)(B).

(C)

The research and
technology development of new or improved response capabilities.

(D)

The use of
cost-effective research mechanisms.

(E)

Research,
computation, and modeling needs and other resources needed to develop a
comprehensive program of oil pollution research.

(4)

Subcommittees

The
advisory committee may establish subcommittees of its members.

(5)

Meetings

The
advisory committee shall meet at least once per year and at other times at the
call of the Chair of the Interagency Committee.

(6)

Report

The
advisory committee shall submit biennial reports to the Interagency Committee
and Congress on the function, activities, and progress of the Interagency
Committee and the programs established under this section.

Section 7001(g) of
such Act, as redesignated by subsection (g) of this section, is amended to read
as follows:

(g)

Funding

From the amounts authorized in section 321
of the Implementing the Recommendations of
the BP Oil Spill Commission Act of 2011, there are authorized to
be appropriated—

(1)

$16,000,000 to the
Administrator of the National Oceanic and Atmospheric Administration annually
to carry out this section; and

(2)

$2,000,000 for
each of fiscal years 2011, 2012, 2013, and 2014 to carry out the activities in
subsection
(c)(6).

.

(i)

Access to
research during an emergency

Section 7001 of such Act (33 U.S.C.
2761) is amended by adding at the end the following new subsection:

(h)

Access to
research during an emergency

Any entity that receives Federal funding
for research, the methodologies or results of which may be useful for response
activities in the event of an oil discharge incident described in sections
300.300–334 of title 40 of the Code of Federal Regulations, shall, upon request
to that entity, make the methodologies or results of such research available to
the Interagency Committee and the Federal On-Scene Coordinator (as defined in
section 311(a)(21) of the Federal Water Pollution Control Act (33 U.S.C.
1321(a)(21))). Any methodologies or research results made available under this
subsection shall be for use only for purposes of the response activities with
respect to the oil discharge incident, and shall not be available for
disclosure under section 552 of title 5, United States Code, or included in
information made publicly available pursuant to this
Act.

.

635.

Oil Spill Liability Trust Fund

(a)

Advance
payments

Section 1012 of the Oil Pollution Act of 1990 (33 U.S.C.
2712) is amended by adding at the end the following:

(m)

Advance
payments

The President shall promulgate regulations that allow
advance payments to be made from the Fund to States and political subdivisions
of States for actions taken to prepare for and mitigate substantial threats
from the discharge of
oil.

.

(b)

Oil Spill
Liability Trust Fund

(1)

Limitations on
expenditures

Section 9509(c)
of the Internal Revenue Code of 1986 (relating to expenditures from the Oil
Spill Liability Trust Fund) is amended—

(A)

by striking
paragraph (2);

(B)

by striking
Expenditures and all that follows through
Amounts in and inserting Expenditures.—Amounts
in; and

(C)

by redesignating
subparagraphs (A) through (F) as paragraphs (1) through (6), respectively, and
indenting appropriately.

(2)

Authority To
borrow

Section 9509(d) of the Internal Revenue Code of 1986
(relating to authority to borrow for the Oil Spill Liability Trust Fund) is
amended—

(A)

by striking
paragraph (2);

(B)

by redesignating
paragraph (3) as paragraph (2); and

(C)

in paragraph (2)
(as so redesignated)—

(i)

by
striking subparagraph (B); and

(ii)

by
redesignating subparagraph (C) as subparagraph (B).

VII

Miscellaneous
Provisions

701.

Repeal of
certain taxpayer subsidized royalty relief for the oil and gas
industry

(a)

Provisions
relating to planning areas offshore Alaska

Section 8(a)(3)(B) of
the Outer Continental Shelf Lands Act (43 U.S.C. 1337(a)(3)(B)) is amended by
striking and in the Planning Areas offshore Alaska after
West longitude.

(b)

Provisions
relating to Naval Petroleum Reserve in Alaska

Section 107 of the
Naval Petroleum Reserves Production Act of 1976 (as transferred, redesignated,
moved, and amended by section 347 of the Energy Policy Act of 2005 (119 Stat.
704)) is amended—

(1)

in subsection (i)
by striking paragraphs (2) through (6); and

(2)

by striking
subsection (k).

702.

Leasing on
Indian lands

Nothing in this
Act modifies, amends, or affects leasing on Indian lands as currently carried
out by the Bureau of Indian Affairs.

703.

Outer
Continental Shelf State boundaries

(a)

General

Not
later than 2 years after the date of enactment of this Act, the President,
acting through the Secretary of the Interior, shall publish a final
determination under section 4(a)(2) of the Outer Continental Shelf Lands Act
(43 U.S.C. 1333(a)(2)) of the boundaries of coastal States projected seaward to
the outer margin of the Outer Continental Shelf.

(b)

Notice and
comment

In determining the projected boundaries specified in
subsection (a), the Secretary shall comply with the notice and comment
requirements under chapter 5 of title 5, United States Code.

(c)

Savings
clause

The determination and publication of projected boundaries
under subsection (a) shall not be construed to alter, limit, or modify the
jurisdiction, control, or any other authority of the United States over the
Outer Continental Shelf.

704.

Liability for
damages to national wildlife refuges

Section 4 of the National Wildlife Refuge
System Administration Act of 1966 (16 U.S.C. 668dd) is amended by adding at the
end the following new subsection:

(p)

Destruction or
loss of, or injury to, refuge resources

(1)

Liability

(A)

Liability to
united states

Any person who destroys, causes the loss of, or
injures any refuge resource is liable to the United States for an amount equal
to the sum of—

(i)

the amount of the
response costs and damages resulting from the destruction, loss, or injury;
and

(ii)

interest on that
amount calculated in the manner described under section 1005 of the Oil
Pollution Act of 1990 (33 U.S.C. 2705).

(B)

Liability in
rem

Any instrumentality, including a vessel, vehicle, aircraft,
or other equipment, that destroys, causes the loss of, or injures any refuge
resource shall be liable in rem to the United States for response costs and
damages resulting from such destruction, loss, or injury to the same extent as
a person is liable under subparagraph (A).

(C)

Defenses

A
person is not liable under this paragraph if that person establishes
that—

(i)

the destruction or
loss of, or injury to, the refuge resource was caused solely by an act of God,
an act of war, or an act or omission of a third party, and the person acted
with due care;

(ii)

the destruction,
loss, or injury was caused by an activity authorized by Federal or State law;
or

(iii)

the destruction,
loss, or injury was negligible.

(D)

Limits to
liability

Nothing in sections 30501 to 30512 or section 30706 of
title 46, United States Code, shall limit the liability of any person under
this section.

(2)

Response
actions

The Secretary may undertake or authorize all necessary
actions to prevent or minimize the destruction or loss of, or injury to, refuge
resources, or to minimize the imminent risk of such destruction, loss, or
injury.

(3)

Civil actions
for response costs and damages

(A)

In
general

The Attorney General, upon request of the Secretary, may
commence a civil action against any person or instrumentality who may be liable
under paragraph (1) for response costs and damages. The Secretary, acting as
trustee for refuge resources for the United States, shall submit a request for
such an action to the Attorney General whenever a person may be liable for such
costs or damages.

(B)

Jurisdiction and
venue

An action under this subsection may be brought in the
United States district court for any district in which—

(i)

the defendant is
located, resides, or is doing business, in the case of an action against a
person;

(ii)

the
instrumentality is located, in the case of an action against an
instrumentality; or

(iii)

the destruction
of, loss of, or injury to a refuge resource occurred.

(4)

Use of recovered
amounts

Response costs and damages recovered by the Secretary
under this subsection shall be retained by the Secretary in the manner provided
for in section 107(f)(1) of the Comprehensive Environmental Response,
Compensation, and Liability Act of 1980 (42 U.S.C. 9607(f)(1)) and used as
follows:

(A)

Response
costs

Amounts recovered by the United States for costs of
response actions and damage assessments under this subsection shall be used, as
the Secretary considers appropriate—

(i)

to
reimburse the Secretary or any other Federal or State agency that conducted
those activities; and

(ii)

after
reimbursement of such costs, to restore, replace, or acquire the equivalent of
any refuge resource.

(B)

Other
amounts

All other amounts recovered shall be used, in order of
priority—

(i)

to
restore, replace, or acquire the equivalent of the refuge resources that were
the subject of the action, including the costs of monitoring the refuge
resources;

(ii)

to restore
degraded refuge resources of the refuge that was the subject of the action,
giving priority to refuge resources that are comparable to the refuge resources
that were the subject of the action; and

(iii)

to restore
degraded refuge resources of other refuges.

(5)

Definitions

In
this subsection, the term—

(A)

damages
includes—

(i)

compensation
for—

(I)(aa)

the cost of replacing,
restoring, or acquiring the equivalent of a refuge resource; and

(bb)

the value of the lost use of a refuge
resource pending its restoration or replacement or the acquisition of an
equivalent refuge resource; or

(II)

the value of a
refuge resource if the refuge resource cannot be restored or replaced or if the
equivalent of such resource cannot be acquired;

(ii)

the cost of
conducting damage assessments;

(iii)

the reasonable
cost of monitoring appropriate to the injured, restored, or replaced refuge
resource; and

(iv)

the cost of
enforcement actions undertaken by the Secretary in response to the destruction
or loss of, or injury to, a refuge resource;

(B)

response
costs means the costs of actions taken or authorized by the Secretary
to minimize destruction or loss of, or injury to, refuge resources, or to
minimize the imminent risks of such destruction, loss, or injury, including
costs related to seizure, forfeiture, storage, or disposal arising from
liability, or to monitor ongoing effects of incidents causing such destruction,
loss, or injury under this subsection; and

(C)

refuge
resource means any living or nonliving resource of a refuge that
contributes to the conservation, management, and restoration mission of the
System, including living or nonliving resources of a marine national monument
that may be managed as a unit of the
System.

.

705.

Strengthening
coastal State oil spill planning and response

The Coastal Zone Management Act of 1972 (16
U.S.C. 1451 et seq.) is amended adding at the end the following new
section:

320.

Strengthening
coastal state oil spill response and planning

(a)

Grants to
states

The Secretary may make grants to eligible coastal
States—

(1)

to revise
management programs approved under section 306 (16 U.S.C. 1455) to identify and
implement new enforceable policies and procedures to ensure sufficient response
capabilities at the State level to address the environmental, economic, and
social impacts of oil spills or other accidents resulting from Outer
Continental Shelf energy activities with the potential to affect any land or
water use or natural resource of the coastal zone; and

(2)

to review and
revise where necessary applicable enforceable policies within approved State
management programs affecting coastal energy activities and energy to ensure
that these policies are consistent with—

(A)

other emergency
response plans and policies developed under Federal or State law; and

(B)

new policies and
procedures developed under paragraph (1); and

(3)

after a State has
adopted new or revised enforceable policies and procedures under paragraphs (1)
and (2)—

(A)

the State shall
submit the policies and procedures to the Secretary; and

(B)

the Secretary
shall notify the State whether the Secretary approves or disapproves the
incorporation of the policies and procedures into the State’s management
program pursuant to section 306(e).

(b)

Elements

New
enforceable policies and procedures developed by coastal States with grants
awarded under this section shall consider, but not be limited to—

(1)

other existing
emergency response plans, procedures and enforceable policies developed under
other Federal or State law that affect the coastal zone;

identification of
coordination, logistics and communication networks between Federal and State
government agencies, and between State agencies and affected local communities,
to ensure the efficient and timely dissemination of data and other
information;

(4)

inventories of
shore locations and infrastructure and equipment necessary to respond to oil
spills or other accidents resulting from Outer Continental Shelf energy
activities;

(5)

identification and
characterization of significant or sensitive marine ecosystems or other areas
possessing important conservation, recreational, ecological, historic, or
aesthetic values;

(6)

inventories and
surveys of shore locations and infrastructure capable of supporting alternative
energy development; and

(7)

other information
or actions as may be necessary.

(c)

Guidelines

The
Secretary shall, within 180 days after the date of enactment of this section
and after consultation with the coastal states, publish guidelines for the
application for and use of grants under this section.

(d)

Participation

A
coastal state shall provide opportunity for public participation in developing
new enforceable policies and procedures under this section pursuant to sections
306(d)(1) and 306(e), especially by relevant Federal agencies, other coastal
state agencies, local governments, regional organizations, port authorities,
and other interested parties and stakeholders, public and private, that are
related to, or affected by Outer Continental Shelf energy activities.

(e)

Annual
grants

(1)

In
general

For each of fiscal years 2011 through 2015, the Secretary
may make a grant to a coastal state to develop new enforceable polices and
procedures as required under this section.

(2)

Grant amounts
and limit on awards

The amount of any grant to any one coastal
State under this section shall not exceed $750,000 for any fiscal year. No
coastal state may receive more than two grants under this section.

(3)

No State
matching contribution required

As it is in the national interest
to be able to respond efficiently and effectively at all levels of government
to oil spills and other accidents resulting from Outer Continental Shelf energy
activities, a coastal state shall not be required to contribute any portion of
the cost of a grant awarded under this section.

(4)

Secretarial
review and limit on awards

After an initial grant is made to a
coastal state under this section, no subsequent grant may be made to that
coastal state under this section unless the Secretary finds that the coastal
state is satisfactorily developing revisions to address offshore energy
impacts. No coastal state is eligible to receive grants under this section for
more than 2 fiscal years.

(f)

Applicability

The requirements of this section shall only
apply if appropriations are provided to the Secretary to make grants under this
section. This section shall not be construed to convey any new authority to any
coastal state, or repeal or supersede any existing authority of any coastal
state, to regulate the siting, licensing, leasing, or permitting of energy
facilities in areas of the Outer Continental Shelf under the administration of
the Federal Government. Nothing in this section repeals or supersedes any
existing coastal state authority.

(g)

Assistance by
the Secretary

The Secretary as authorized under section 310(a)
and to the extent practicable, shall make available to coastal states the
resources and capabilities of the National Oceanic and Atmospheric
Administration to provide technical assistance to the coastal states to prepare
revisions to approved management programs to meet the requirements under this
section.

.

706.

Information
sharing

Section 388(b) of the
Energy Policy Act of 2005 (43 U.S.C. 1337 note) is amended by adding at the end
the following:

(4)

Availability of
data and information

All heads of departments and agencies of the
Federal Government shall, upon request of the Secretary, provide to the
Secretary all data and information that the Secretary deems necessary for the
purpose of including such data and information in the mapping initiative,
except that no department or agency of the Federal Government shall be required
to provide any data or information that is privileged or
proprietary.

.

707.

Limitation on
use of funds

None of the funds
authorized or made available by this Act may be used to carry out any activity
or pay any costs for removal or damages for which a responsible party (as such
term is defined in section 1001 of the Oil Pollution Act of 1990 (33 U.S.C.
2701)) is liable under the Oil Pollution Act of 1990 (33 U.S.C. 2701 et seq.)
or other law.

The Comptroller General shall conduct an
evaluation of the Department of the Interior to determine—

(1)

whether the
reforms carried out under this Act and the amendments made by this Act address
concerns of the Government Accountability Office and the Inspector General
expressed before the date of enactment of this Act;

(2)

whether the increased hiring authority
given to the Secretary of the Interior under this Act and the amendments made
by this Act has resulted in the Department of the Interior being more effective
in addressing its oversight missions; and

(3)

whether there has been a sufficient
reduction in the conflict between mission and interest within the Department of
the Interior.

(b)

Report

Not
later than 3 years after the date of enactment of this Act, the Comptroller
General shall submit to Congress a report containing the results of the
evaluation conducted under subsection (a).

710.

Study on relief
wells

Not later than 60 days
after the date of enactment of this Act, the Secretary shall enter into an
arrangement with the National Academy of Engineering under which the Academy
shall, not later than 1 year after such arrangement is entered into, submit to
the Secretary and to Congress a report that assesses the economic, safety, and
environmental impacts of requiring that 1 or more relief wells be drilled in
tandem with the drilling of some or all wells subject to the requirements of
this Act and the amendments made by this Act.

711.

Flow rate
technical group

(a)

Establishment

Within
180 days after the date of enactment of this Act, the Secretary, acting through
the Director of the United States Geologic Survey, shall establish a permanent
Flow Rate Technical Group to develop and maintain expertise in measuring and
estimating flow rates and spill volumes.

(b)

Membership

The
Flow Rate Technical Group shall be chaired by the Director of the United States
Geologic Survey and shall include representatives from the Coast Guard, the
National Oceanic and Atmospheric Administration, the Department of Energy, the
national laboratories, and academic institutions.

(c)

Application of
the Federal Advisory Committee Act

The Task Force shall not be
considered an advisory committee under the Federal Advisory Committee Act (5
U.S.C. App.).

VIII

Study of
actions to improve the accuracy of collection of royalties

801.

Short
title

This title may be cited
as the Study of Ways To Improve the
Accuracy of the Collection of Federal Oil, Condensate, and Natural Gas
Royalties Act of 2011.

802.

Study of
actions to improve the accuracy of collection of Federal oil, condensate, and
natural gas royalties

The
Secretary of the Interior shall seek to enter into an arrangement with the
National Academy of Engineering under which the Academy, by not later than six
months after the date of the enactment of this Act, shall study and report to
the Secretary regarding whether the accuracy of collection of royalties on
production of oil, condensate, and natural gas under leases of Federal lands
(in eluding submerged and deep water lands) and Indian lands would be improved
by any of the following:

(1)

Requiring the
installation of digital meters, calibrated at least monthly to an absolute zero
value, for all lands from which natural gas (including condensate) is produced
under such leases.

(2)

Requiring
that—

(A)

the size of every
orifice plate on each natural gas well operated under such leases be inspected
at least quarterly by the Secretary; and

(B)

chipped orifice
plates and wrong-sized orifice plates be replaced immediately after those
inspections and reported to the Secretary for retroactive volume measurement
corrections and royalty payments with interest of 8 percent compounded
monthly.

(3)

Requiring that any
plug valves that are in natural gas gathering lines be removed and replaced
with ball valves.

(4)

Requiring
that—

(A)

all meter runs
should be opened for inspection by the Secretary and the producer at all times;
and

(B)

any welding or
closing of the meter runs leading to the orifice plates should be prohibited
unless authorized by the Secretary.

(5)

Requiring the installation of straightening
vanes approximately 10 feet before natural gas enters each orifice meter,
including each master meter and each sales meter.

(6)

Requiring that all
master meters be inspected and the results of such inspections be made
available to the Secretary and the producers immediately.

(7)

Requiring
that—

(A)

all sampling of
natural gas for heating content analysis be performed monthly upstream of each
natural gas meter, including upstream of each master meter;

(B)

records of such
sampling and heating content analysis be maintained by the purchaser and made
available to the Secretary and to the producer monthly;

(C)

probes for such
upstream sampling be installed upstream within three feet of each natural gas
meter;

(D)

any oil and
natural gas lease for which heat content analysis is falsified shall be subject
to cancellation;

(E)

natural gas
sampling probes be located—

(i)

upstream of the
natural gas meter at all times;

(ii)

within a few feet
of the natural gas meter; and

(iii)

after the
natural gas goes through a Welker or Y–Z vanishing chamber; and

(F)

temperature probes
and testing probes be located between the natural gas sampling probe and the
orifice of the natural gas meter.

(8)

Prohibiting the
dilution of natural gas with inert nitrogen or inert carbon dioxide gas for
royalty determination, sale, or resale at any point.

(9)

Requiring that both the measurement of the
volume of natural gas and the heating content analyses be reported only on the
basis of 14.73 PSI and 60 degrees Fahrenheit, regardless of the elevation above
sea level of such volume measurement and heating content analysis, for both
purchases and sales of natural gas.

(10)

Prohibiting the
construction of bypass pipes that go around the natural gas meter, and imposing
criminal penalties for any such construction or subsequent removal including,
but not limited to, automatic cancellation of the lease.

(11)

Requiring that all natural gas sold to
consumers have a minimum BTU content of 960 at an atmospheric pressure of 14.73
PSI and be at a temperature of 60 degrees Fahrenheit, as required by the State
of Wyoming Public Utilities Commission.

(12)

Requiring that all natural gas sold in the
USA will be on a MMBTU basis with the BTU content adjusted for elevation above
sea level in higher altitudes. Thus all natural gas meters must correct for BTU
content in higher elevations (altitudes).

(13)

Issuance by the
Secretary of rules for the measurement at the wellhead of the standard volume
of natural gas produced, based on independent industry standards such as those
suggested by the American Society of Testing Materials (ASTM).

(14)

Requiring use of
the fundamental orifice meter mass flow equation, as revised in 1990, for
calculating the standard volume of natural gas produced.

(15)

Requiring the use
of Fpv in standard volume measurement computations as described in the 1992
American Gas Association Report No. 8 entitled Compressibility Factor of
Natural Gas and Other Related Hydrocarbon Gases.

(16)

Requiring that
gathering lines must be constructed so as to have as few angles and turns as
possible, with a maximum of three angles, before they connect with the natural
gas meter.

(17)

Requiring that
for purposes of reporting the royalty value of natural gas, condensate, oil,
and associated natural gases, such royalty value must be based upon the natural
gas’ condensate’s, oil’s, and associated natural gases’ arm’s length,
independent market value, as reported in independent, respected market reports
such as Platts or Bloombergs, and not based upon industry controlled posted
prices, such as Koch’s.

(18)

Requiring that
royalties be paid on all the condensate recovered through purging gathering
lines and pipelines with a cone-shaped device to push out condensate (popularly
referred to as a pig) and on condensate recovered from separators, dehydrators,
and processing plants.

(19)

Requiring that all royalty deductions for
dehydration, treating, natural gas gathering, compression, transportation,
marketing, removal of impurities such as carbon dioxide
(CO2), nitrogen (N2), hydrogen
sulphide (H2S), mercaptain (HS), helium (He), and other
similar charges on natural gas, condensate, and oil produced under such leases
that are now in existence be eliminated.

(20)

Requiring that at
all times—

(A)

the quantity,
quality, and value obtained for natural gas liquids (condensate) be reported to
the Secretary; and

(B)

such reported
value be based on fair independent arm’s length market value.

(21)

Issuance by the
Secretary of regulations that prohibit venting or flaring (or both) of natural
gas in cases for which technology exists to reasonably prevent it, strict
enforcement of such prohibitions, and cancellation of leases for
violations.

(22)

Requiring lessees
to pay full royalties on any natural gas that is vented, flared, or otherwise
avoidably lost.

(23)(A)

Requiring payment of
royalties on carbon dioxide at the wellhead used for tertiary oil recovery from
depleted oil fields on the basis of 5 percent of the West Texas Intermediate
crude oil fair market price to be used for one MCF (1,000 cubic feet) of carbon
dioxide gas.

(B)

Requiring that—

(i)

carbon dioxide used for edible
purposes should be subjected to a royalty per thousand cubic feet (MCF) on the
basis of the sales price at the downstream delivery point without deducting for
removal of impurities, processing, transportation, and marketing costs;

(ii)

such price to apply with respect
to gaseous forms, liquid forms, and solid (dry ice) forms of carbon dioxide
converted to equivalent MCF; and

(iii)

such royalty to apply with
respect to both a direct producer of carbon dioxide and purchases of carbon
dioxide from another person that is either affiliated or not affiliated with
the purchaser.

(24)

Requiring
that—

(A)

royalties be paid
on the fair market value of nitrogen extracted from such leases that is used
industrially for well stimulation, helium recovery, or other uses; and

(B)

royalties be paid
on the fair market value of ultimately processed helium recovered from such
leases.

(25)

Allowing only 5
percent of the value of the elemental sulfur recovered during processing of
hydrogen sulfide gas from such leases to be deducted for processing costs in
determining royalty payments.

(26)

Requiring that
all heating content analysis of natural gas be conducted to a minimum level of
C15.

(27)

Eliminating
artificial conversion from dry BTU to wet BTU, and requiring that natural gas
be analyzed and royalties paid for at all times on the basis of dry BTU
only.

(28)

Requiring that
natural gas sampling be performed at all times with a floating piston cylinder
container at the same pressure intake as the pressure of the natural gas
gathering line.

(29)

Requiring use of
natural gas filters with a minimum of 10 microns, and preferably 15 microns,
both in the intake to natural gas sampling containers and in the exit from the
natural gas sampling containers into the chromatograph.

(30)

Mandate the use
of a Quad Unit for both portable and stationary chromatographs in order to
correct for the presence of nitrogen and oxygen, if any, in certain natural gas
streams.

(31)

Require the
calibration of all chromatograph equipment every three months and the use of
only American Gas Association-approved standard comparison containers for such
calibration.

(32)

Requiring payment of royalties on any such
natural gas stored on Federal or Indian lands on the basis of corresponding
storage charges for the use of Federal or Indian lands, respectively, for such
storage service.

(33)

Imposing
penalties for the intentional nonpayment of royalties for natural gas liquids
recovered—

(A)

from purging of
natural gas gathering lines and natural gas pipelines; or

(B)

from field
separators, dehydrators, and processing plants,

including
cancellation of oil and natural gas leases and criminal penalties.(34)

Requiring that the separator, dehydrator,
and natural gas meter be located within 100 feet of each natural gas
wellhead.

(35)

Requiring that BTU heating content analysis
be performed when the natural gas is at a temperature of 140 to 150 degrees
Fahrenheit at all times, as required by the American Gas Association (AGA)
regulations.

(36)

Requiring that
heating content analysis and volume measurements are identical at the sales
point to what they are at the purchase point, after allowing for a small volume
for leakage in old pipes, but with no allowance for heating content
discrepancy.

(37)

Verification by the Secretary that the
specific gravity of natural gas produced under such leases, as measured at the
meter run, corresponds to the heating content analysis data for such natural
gas, in accordance with the Natural Gas Processors Association Publication
2145–71(1), entitled Physical Constants Of Paraffin Hydrocarbons And
Other Components Of Natural Gas, and reporting of all discrepancies
immediately.

(38)

Prohibiting all
deductions on royalty payments for marketing of natural gas, condensate, and
oil by an affiliate or agent.

(39)

Requiring that
all standards of the American Petroleum Institute, the American Gas
Association, the Gas Processors Association, and the American Society of
Testing Materials, Minerals Management Service Order No. 5, and all other
Minerals Management Service orders be faithfully observed and applied, and
willful misconduct of such standards and orders be subject to oil and gas lease
cancellation.

803.

Definitions

In this title:

(1)

Covered
lands

The term covered lands means—

(A)

all Federal
onshore lands and offshore lands that are under the administrative jurisdiction
of the Department of the Interior for purposes of oil and gas leasing;
and

(B)

Indian onshore
lands.

(2)

Secretary

The
term Secretary means the Secretary of the Interior.

IX

Offshore Oil and
Gas Worker Whistleblower Protection

901.

Short
title

This title may be cited
as the Offshore Oil and Gas Worker
Whistleblower Protection Act of 2011.

902.

Whistleblower
protections; employee protection from other retaliation

(a)

Prohibition
Against Retaliation

(1)

In
general

No employer may discharge or otherwise discriminate
against a covered employee because the covered employee, whether at the covered
employee’s initiative or in the ordinary course of the covered employee’s
duties—

(A)

provided, caused
to be provided, or is about to provide or cause to be provided to the employer
or to a Federal or State government official, information relating to any
violation of, or any act or omission the covered employee reasonably believes
to be a violation of, any provision of the Outer Continental Shelf Lands Act
(43 U.S.C. 1301 et seq.), or any order, rule, regulation, standard, or
prohibition under that Act, or exercised any rights provided to employees under
that Act;

(B)

testified or is
about to testify in a proceeding concerning such violation;

(C)

assisted or
participated or is about to assist or participate in such a proceeding;

(D)

testified or is
about to testify before Congress on any matter covered by such Act;

(E)

objected to, or refused to participate in
any activity, policy, practice, or assigned task that the covered employee
reasonably believed to be in violation of any provision of such Act, or any
order, rule, regulation, standard, or ban under such Act;

(F)

reported to the employer or a State or
Federal government official any of the following related to the employer’s
activities described in section 1003(1): an illness, injury, unsafe condition,
or information regarding the adequacy of any oil spill response plan required
by law; or

(G)

refused to perform
the covered employee’s duties, or exercised stop work authority, related to the
employer’s activities described in section 1003(1) if the covered employee had
a good faith belief that performing such duties could result in injury to or
impairment of the health of the covered employee or other employees, or cause
an oil spill to the environment.

(2)

Good faith
belief

For purposes of paragraph (1)(E), the circumstances
causing the covered employee’s good faith belief that performing such duties
would pose a health and safety hazard shall be of such a nature that a
reasonable person under circumstances confronting the covered employee would
conclude there is such a hazard.

(b)

Process

(1)

In
general

A covered employee who believes that he or she has been
discharged or otherwise discriminated against (hereafter referred to as the
complainant) by any employer in violation of subsection (a)(1)
may, not later than 180 days after the date on which such alleged violation
occurs or the date on which the covered employee knows or should reasonably
have known that such alleged violation occurred, file (or have any person file
on his or her behalf) a complaint with the Secretary of Labor (referred to in
this section as the Secretary) alleging such discharge or
discrimination and identifying employer or employers responsible for such act.
Upon receipt of such a complaint, the Secretary shall notify, in writing, the
employer or employers named in the complaint of the filing of the complaint, of
the allegations contained in the complaint, of the substance of evidence
supporting the complaint, and of the opportunities that will be afforded to
such person under paragraph (2).

(2)

Investigation

(A)

In
general

Not later than 90 days after the date of receipt of a
complaint filed under paragraph (1) the Secretary shall initiate an
investigation and determine whether there is reasonable cause to believe that
the complaint has merit and notify, in writing, the complainant and the
employer or employers alleged to have committed a violation of subsection
(a)(1) of the Secretary’s findings. The Secretary shall, during such
investigation afford the complainant and the employer or employers named in the
complaint an opportunity to submit to the Secretary a written response to the
complaint and an opportunity to meet with a representative of the Secretary to
present statements from witnesses. The complainant shall be provided with an
opportunity to review the information and evidence provided by employer or
employers to the Secretary, and to review any response or rebuttal by such the
complaint, as part of such investigation.

(B)

Reasonable cause
found; preliminary order

If the Secretary concludes that there is
reasonable cause to believe that a violation of subsection (a)(1) has occurred,
the Secretary shall accompany the Secretary’s findings with a preliminary order
providing the relief prescribed by paragraph (3)(B). Not later than 30 days
after the date of notification of findings under this paragraph, the employer
or employers alleged to have committed the violation or the complainant may
file objections to the findings or preliminary order, or both, and request a
hearing on the record before an administrative law judge of the Department of
Labor. The filing of such objections shall not operate to stay any
reinstatement remedy contained in the preliminary order. Any such hearing shall
be conducted expeditiously. If a hearing is not requested in such 30-day
period, the preliminary order shall be deemed a final order that is not subject
to judicial review. The Secretary of Labor is authorized to enforce preliminary
reinstatement orders in the United States district court for the district in
which the violation was found to occur, or in the United States district court
for the District of Columbia.

(C)

Dismissal of
complaint

(i)

Standard for
complainant

The Secretary shall dismiss a complaint filed under
this subsection and shall not conduct an investigation otherwise required under
subparagraph (A) unless the complainant makes a prima facie showing that any
behavior described in subparagraphs (A) through (G) of subsection (a)(1) was a
contributing factor in the adverse action alleged in the complaint.

(ii)

Standard for
employer

Notwithstanding a finding by the Secretary that the
complainant has made the showing required under clause (i), no investigation
otherwise required under subparagraph (A) shall be conducted if the employer
demonstrates, by clear and convincing evidence, that the employer would have
taken the same adverse action in the absence of that behavior.

(iii)

Violation
standard

The Secretary may determine that a violation of
subsection (a)(1) has occurred only if the complainant demonstrates that any
behavior described in subparagraphs (A) through (G) of such subsection was a
contributing factor in the adverse action alleged in the complaint.

(iv)

Relief
standard

Relief may not be ordered under subparagraph (A) if the
employer demonstrates by clear and convincing evidence that the employer would
have taken the same adverse action in the absence of that behavior.

(3)

Orders

(A)

In
general

Not later than 90 days after the receipt of a request for
a hearing under subsection (b)(2)(B), the administrative law judge shall issue
findings of fact and order the relief provided under this paragraph or deny the
complaint. At any time before issuance of an order, a proceeding under this
subsection may be terminated on the basis of a settlement agreement entered
into by the Secretary, the complainant, and the person alleged to have
committed the violation. Such a settlement may not be agreed by such parties if
it contains conditions which conflict with rights protected under this title,
are contrary to public policy, or include a restriction on a complainant’s
right to future employment with employers other than the specific employers
named in the complaint.

(B)

Content of
order

If, in response to a complaint filed under paragraph (1),
the administrative law judge determines that a violation of subsection (a)(1)
has occurred, the administrative law judge shall order the employer or
employers who committed such violation—

(i)

to
take affirmative action to abate the violation;

(ii)

to
reinstate the complainant to his or her former position together with
compensation (including back pay and prejudgment interest) and restore the
terms, conditions, and privileges associated with his or her employment;
and

(iii)

to
provide compensatory and consequential damages, and, as appropriate, exemplary
damages to the complainant.

(C)

Attorney
fees

If such an order is issued under this paragraph, the
Secretary, at the request of the complainant, shall assess against the employer
or employers a sum equal to the aggregate amount of all costs and expenses
(including attorneys’ and expert witness fees) reasonably incurred by the
complainant for, or in connection with, the bringing of the complaint upon
which the order was issued at the conclusion of any stage of the
proceeding.

(D)

Bad faith
claim

If the Secretary finds that a complaint under paragraph (1)
is frivolous or has been brought in bad faith, the Secretary may award to the
prevailing employer reasonable attorneys’ fees, not exceeding $1,000, to be
paid by the complainant.

(E)

Administrative
appeal

Not later than 30 days after the receipt of findings of
fact or an order under subparagraph (B), the employer or employers alleged to
have committed the violation or the complainant may file, with objections, an
administrative appeal with the Secretary, who may designate such appeal to a
review board. In reviewing a decision and order of the administrative law
judge, the Secretary shall affirm the decision and order if it is determined
that the factual findings set forth therein are supported by substantial
evidence and the decision and order are made in accordance with applicable law.
The Secretary shall issue a final decision and order affirming, or reversing,
in whole or in part, the decision under review within 90 days after receipt of
the administrative appeal under this subparagraph. If it is determined that a
violation of subsection (a)(1) has occurred, the Secretary shall order relief
provided under subparagraphs (B) and (C). Such decision shall constitute a
final agency action with respect to the matter appealed.

(4)

Action in
court

(A)

In
general

If the Secretary has not issued a final decision within
330 days after the filing of the complaint, the complainant may bring an action
at law or equity for de novo review in the appropriate district court of the
United States, which action shall, at the request of either party to such
action, be tried by the court with a jury. The proceedings shall be governed by
the same legal burdens of proof specified in paragraph (2)(C).

(B)

Relief

The
court may award all appropriate relief including injunctive relief,
compensatory and consequential damages, including—

(i)

reinstatement with
the same seniority status that the covered employee would have had, but for the
discharge or discrimination;

(ii)

the
amount of back pay sufficient to make the covered employee whole, with
prejudgment interest;

Any person aggrieved
by a final order issued under paragraph (3) or a judgment or order under
paragraph (4) may obtain review of the order in the appropriate United States
Court of Appeals. The petition for review must be filed not later than 60 days
after the date of the issuance of the final order of the Secretary. Review
shall be in accordance with chapter 7 of title 5, United States Code. The
commencement of proceedings under this subparagraph shall not, unless ordered
by the court, operate as a stay of the order.

(B)

No other
judicial review

An order of the Secretary with respect to which
review could have been obtained under subparagraph (A) shall not be subject to
judicial review in any other proceeding.

(6)

Failure to
comply with order

Whenever any employer has failed to comply with
an order issued under paragraph (3), the Secretary may obtain in a civil action
in the United States district court for the district in which the violation was
found to occur, or in the United States district court for the District of
Columbia, all appropriate relief including, but not limited to, injunctive
relief and compensatory damages.

(7)

Civil action to
require compliance

(A)

In
general

Whenever an employer
has failed to comply with an order issued under paragraph (3), the complainant
on whose behalf the order was issued may obtain in a civil action in an
appropriate United States district court against the employer to whom the order
was issued, all appropriate relief.

(B)

Award

The
court, in issuing any final order under this paragraph, may award costs of
litigation (including reasonable attorneys’ and expert witness fees) to any
party whenever the court determines such award is appropriate.

(c)

Construction

(1)

Effect on other
laws

Nothing in this section preempts or diminishes any other
safeguards against discrimination, demotion, discharge, suspension, threats,
harassment, reprimand, retaliation, or any other manner of discrimination
provided by Federal or State law.

(2)

Rights of
employees

Nothing in this section shall be construed to diminish
the rights, privileges, or remedies of any employee under any Federal or State
law or under any collective bargaining agreement. The rights and remedies in
this section may not be waived by any agreement, policy, form, or condition of
employment.

(d)

Enforcement of
Nondiscretionary Duties

Any nondiscretionary duty imposed by this
section shall be enforceable in a mandamus proceeding brought under section
1361 of title 28, United States Code.

(e)

Posting of
Notice and Training

All employers shall post a notice which has
been approved as to form and content by the Secretary of Labor in a conspicuous
location in the place of employment where covered employees frequent which
explains employee rights and remedies under this section. Each employer shall
provide training to covered employees of their rights under this section within
30 days of employment, and at not less than once every 12 months thereafter,
and provide covered employees with a card which contains a toll free telephone
number at the Department of Labor which covered employees can call to get
information or file a complaint under this section.

(f)

Designation by
the Secretary

The Secretary of Labor shall, within 30 days of the
date of enactment of this Act, designate by order the appropriate agency
officials to receive, investigate, and adjudicate complaints of violations of
subsection (a)(1).

903.

Definitions

As used in this title the following
definitions apply:

(1)

The term
covered employee—

(A)

means an
individual performing services on behalf of an employer that is engaged in
activities on or in waters above the Outer Continental Shelf related to—

(i)

supporting, or
carrying out exploration, development, production, processing, or
transportation of oil or gas; or

The term
employer means one or more individuals, partnerships,
associations, corporations, trusts, unincorporated organizations,
nongovernmental organizations, or trustees, and includes any agent, contractor,
subcontractor, grantee or consultant of such employer.

(3)

The term
Outer Continental Shelf has the meaning that the term outer
Continental Shelf has in the Outer Continental Shelf Lands Act (43
U.S.C. 1331 et seq.).

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